Tag Archives: pound

GBP/EUR, GBP/USD and GBP/AUD begin falling ahead of final month in 2015 (Joshua Privett)

GBP/EUR, GBP/USD and GBP/AUD all produced a negative trend heading into the weekend, with anyone hoping to use Sterling as a purchasing currency seeing their exchange getting slightly more expensive.

This was mainly due to underwhelming GDP figures released for the British economy summarising growth during the third quarter of this year.

Growth for the year had already been revised downwards during October and it seemed that November did nothing to turn this around, causing confidence in Sterling to dip ahead of the final trading day of the month on Monday.

There isn’t any data expected on Monday that could reverse this currently negative trend, so Sterling holders should expect similar falls produced on Friday which saw 1.41 hit on GBP/EUR, and 1.50 almost being breached on GBP/USD.

Another factor which has become a common feature since August this year has been irregular market movements on the last day of the month as ‘profit-taking’ occurs.

Currency traders at banks and other large financial groups who move hundreds of millions in capital speculating on the markets on daily basis are the main drivers of currency rates.

Common practice is for them to consolidate their profit at the end of the month and reform their positions and strategies ahead of the coming four weeks.

Traders would have already noticed that last time Sterling reached these highs on the markets in August, they gradually declined back by as much as 10 cents on some currency pairings such as GBP/EUR by the start of October. So it is unlikely they will choose to store their profits in Pounds.

Better performing currencies such as the US Dollar will likely be selected, particularly with an interest rate rise in the US expected at the start of December. Capital outflow to the Dollar will likely exaggerate this currently negative trend on Sterling moving into the start of December on Tuesday, with GBP/EUR likely being hit the hardest as it will be difficult for GBP/USD to break the resistance level at 1.50.

I strongly recommend that anyone hoping to use Sterling as a purchasing currency, particularly on GBP/EUR should contact me on jjp@currencies.co.uk to discuss a strategy for your transfer in order to maximise the return on your currency of choice. These currently high levels can be fixed to avoid any harmful movements before 2016 comes around to make your purchase more expensive.

Those looking to purchase Sterling can also do the same, and I will explain the various options open to you to ride any movements in your favour to their peak within the time-period you have to complete your transfer. These include rate-alerts to let you know when your desired rate becomes available. 01494 787 478

Black Friday on Pound Sterling Forecast (Daniel Wright)

Good morning and I hope you are all enjoy black Friday and manage to get yourself plenty of bargains.

Here at Pound Sterling Forecast our rates of exchange are so good all the time that we do not need to make any offers of discounts just to lure clients in, we keep our levels of exchange consistently fantastic so that our clients know they are getting a great deal every day of the year.

If you have a currency exchange to carry out involving buying or selling Sterling in the coming days, weeks or months and you want to see if you can get a better rate than your bank or any other brokerage is offering you then it is well worth getting in contact with us directly.

All you need to get in contact is to email me (Daniel Wright) on djw@currencies.co.uk or to call me on 01494 787 478 and I will be more than happy to assist you personally.

GBP/EUR and GBP/USD reverse the losses of yesterday thanks to strong UK spending review (Joshua Privett)

Yesterday’s losses, particularly on GBP/EUR and GBP/USD, were reversed this afternoon by George Osborne’s changes to his budget during the spending review. 

GBP/EUR fell by over a cent during yesterday’s trading with confidence in the UK economy falling following the dodging of hard questions about the UK’s inflation problems during hearings held by the UK’s treasury committee.

Political dodging gave way to political sensationalism today with Osborne speaking to Parliament about his continued objectives for the budget. While the speech has only just finished GBP/EUR is already back up to the mid 1.42’s and GBP/USD is on the sunny side of 1.51 for USD buyers. 

The speech dialed back from the pure focus on austerity over the past few years which showed greater confidence from the Government for the UK to continue on in its strong recovery relative to other countries. While cut-backs are still being announced, some areas such as the NHS will be receiving increased spending and tax credit cuts were now off the table all-together.

This shot-in the arm for those hoping to use Sterling as a purchasing currency is a welcome break following the strong moves in the favour of Euro or Dollar sellers yesterday. 

These gains will likely continue into the afternoon as North American markets open and trade on the news. We may even reach 1.43 for GBP/EUR by the end of the day’s trading, but it will be a stretch for 1.52 on GBP/USD.

Those with Euros to buy must remember that 1.43 has been reached twice in the past 2 weeks and rates have continually been pushed back from this mark. It is difficult for those GBP/EUR rates to be sustained as the demand for Euros rises dramatically in the commercial sector once buying rates become so cheap.

A popular option this afternoon for Euro and Dollar buyers have been ‘limit orders’. These allow you to secure your currency automatically at no additional cost, before any sharp snap-backs against your favour are expected.

I strongly recommend those with Euros or Dollars to buy should contact me on jjp@currencies.co.uk to discuss how to secure your target level automatically once it is achieved to maximise the value of the Sterling you hold. I have never had an issue beating the rates of exchange elsewhere, and by squeezing as much out of any positive movements you could save thousands on your transfer. 01494 787 478


GBP/EUR and GBP/USD at net loss so far today from UK inflation hearings (Joshua Privett)

The event which has been delayed for two weeks and has been a worry for those looking to exchange their Sterling for an alternative currency is taking place as I type this article. GBP/EUR and GBP/USD rates have already moved in a downward trajectory over the first 15 minutes of the UK’s inflation report hearings held by the Treasury Committee.

However, not by as much as initially expected. The reason I have decided to type out my expectations now is that it is all too clear that these hearings are lacking any substance.

Recently Mark Carney, the Governor of the Bank of England, noted that the previous estimates of an interest rate hike in the UK economy for Spring 2016 were now likely to be postponed for a year – his reasoning was that the UK’s already record low inflation levels were expected to get worse before they got better. Sterling weakened heavily on the news with GBP/EUR dropping over 2 cents as an example.

These hearings were called to ascertian how the UK has got itself into this position and what can be done at this point. Yet they were delayed over two consecutive weeks, heightening market anticipation as to what poor news may be revealed from the hearings.

So far I have heard discussions of bank regulations and capital restrictions which, while important, have been beaten to death since the financial crisis and have little to do with combatting negative inflation.

They are avoiding the issue, likely because they have few answers. Inflation is a reflection of price change, and falling prices are a result of low oil prices and reduced demand overseas for our goods, which are difficult for the Bank of Engand itself to control.

Sterling is weakening at this lack of confidence in the Bank of England. But many, including myself, were expecting worse should the details and forecasts of how poor inflation could possibly reach were to be discussed in the open. GBP/EUR has moved down a full cent from the day high and low, and GBP/USD by half a cent.

North American markets will open soon and we will likely see similar falls on GBP/EUR and GBP/USD continuing into the afternoon.

Events today have softened the blow to Euro buyers who could not secure their currency yesterday when rates were above 1.42. 

If you have Euros or US Dollars to buy I strongly suggest contacting me on 01494 787 478 and asking the reception for Joshua to discuss how these current buying rates can be fixed to avoid future falls this afternoon. I have never had an issue beating the rates of exchange offered elsewhere and a comparison could save you thousands depending on the volume of your transfer. jjp@currencies.co.uk

Sterling exchange rates remain flat today – What is due out in the coming days that may impact the Pound (Daniel Wright)

The Pound has not really given us a huge amount to feed off of today however there are still a couple of important data releases due in the coming days that may impact your rate of exchange.

Tomorrow morning we have German growth figures which will no doubt impact the Euro in early trading and shortly after this we have a speech from the Governor of the RBA Glenn Stevens speaking over in Australia which is key for those with an interest in either buying or selling Australian Dollars.

Later in the afternoon we have a flurry of figures from the States which will keep tongues wagging about the interest rate hike and then after a fairly quiet morning for economic data on Wednesday we have lots more data from America including durable goods orders which are expected to show a slight improvement.

Personally I feel that this week we may remain fairly range bound against the Euro, we may lose a little ground against the Dollar if U.S data is good and I feel we may gain back a little of our recently lost ground against the Australian Dollar.

If you have a currency exchange to carry out in the next few days (or even in the coming weeks and months) then it will be well worth you getting in contact with me (Daniel Wright) directly.

I can help you both in terms of getting you a better exchange rate than you are able to achieve elsewhere along with helping you time when you buy the currency as this can make an even bigger difference.

All you would need to do to make an enquiry with me is to email djw@currencies.co.uk with a brief description of what sum you are looking to exchange and the timescales you are working to and I will be more than happy to assist you.

A quiet day for the Pound tomorrow – Euro and Canadian Dollar in focus (Daniel Wright)

We have very little due out from the U.K tomorrow in terms of economic data with perhaps Public Sector Net borrowing figures the main data for the markets to feed off of which is out at 09:30am.

For those with an interest in Sterling/Euro exchange rates you may wish to take a look at the markets fairly early on as we have head of the ECB (European Central Bank) Mario Draghi speaking at 08:00am and this may lead to early morning volatility depending on what he actually says.

Later on in the day we have Canadian inflation figures and with expectations for a minor drop towards 2% year on year this may not have the biggest impact on Canadian Dollar exchange rates unless we see a surprise figure.

All in all, unless Draghi drops a bombshell we may be set for a fairly quiet day on the currency markets tomorrow but always be aware it is always these sort of days that tend to throw up a surprise or two. Always keep an eye on rates on a Friday afternoon too as sometimes large positions can be netted off leading to a sharp and rapid exchange rate movement without any prior warning.

If you have a currency exchange to carry out either soon or at some point in the future then we can help you with this here at Pound Sterling Forecast.

All you need to do in order to find out about our services and to get a free, no obligation quote then feel free to contact me (Daniel Wright) directly. You can email me on djw@currencies.co.uk and I will be more than happy to contact you personally.

Sterling exchange rates set for a busy morning of inflationary data tomorrow (Daniel Wright)

First and foremost I would like to offer the thoughts and prayers of all writers here at Pound Sterling Forecast to France.

I for one will be belting out the French national anthem at the England – France game tomorrow at wembley just to help prove that the world is with you and that we are all in this together. All the majority of us want is peace.

Back to currency and the Pound is indeed set for a busy morning on the markets tomorrow morning as we have the Bank of England inflation report and then a flurry of inflation data to follow later on in the morning.

Inflation has been a key concern for the BOE of late and that will no doubt be highlighted in the report, this may lead to a little Sterling weakness initially if that should happen. The report is due at 9am.

Shortly after this at 09:30am we have all inflation data out at once, a slight move north from the -o.1% we saw last time for CPI (Consumer Price Inflation) may give Sterling a boost back in the right direction however of course if we see the opposite then the Pound may be in for a bad day.

If you are due to carry out a currency exchange involving buying currency with Sterling or bringing money back into Pounds then I can help you. The brokerage we all work for turns over half a billion Pounds worth of currency a year so we can get extremely good rates of exchange for our clients, we also pride ourselves on the very highest level of customer service too.

If you would like to enquire as to how to use our services or just to get a quote then feel free to contact me (Daniel Wright) directly by emailing Djw@currencies.co.uk with a brief description of what you are looking to do and a contact number and Iwill be more than happy to contact you personally.

GBP/EUR exchange rates cannon upwards to three month highs following Draghi’s speech (Joshua Privett)

GBP/EUR exchange rates have moved up to three month highs this morning as a result of the speech given by Mario Draghi, the President of the European Central Bank, at 10am GMT.

He gave further hints to continued financial stimulus being required for the Eurozone recovery to move forward more confidently. Originally the deadline for this ending was September 2016, which now seems likely to be extended.

This allowed GBP/EUR to hit 1.42 very briefly as confidence fell and the Euro lost around half a Cent’s value.

Then markets corrected backwards quite violently. GBP/EUR is now lower than it first started today.

With no data released this afternoon to account for this sudden Sterling weakness or Euro strength, then standard market forces must be the cause for such rapid GBP/EUR rate movements.

Market participants have jumped at the opportunity to purchase Euros at while they are so cheap, particularly with GBP/EUR being at 1.33 less than a month ago.

Inflation hearings on Tuesday next week will also explain why the market has shifted so rapidly as many expect further Sterling weakness beginning in earnest during the third week of November.

The inflation hearings themselves are set to be held by the Treasury Committee with members of the Bank of England being grilled for answers as to why the UK economy has gotten into such dire straits in terms of inflation and what, if any, solutions can be supplied.

The fall in inflation to their lowest levels since records began was the reason why the Bank of England were recently forced to announce there would be no rise on UK interest rates until 2017 at the earliest.

This resulted in GBP/EUR falling by 3 cents off the back of the news last Thursday, so the followup-hearings as a result should echo that same Sterling weakness.

Markets have effectively signaled what the consensus is for what exchange rates may do on Tuesday by the sheer volume of those looking to use Sterling as a purchasing currency while rates are still favourable. The large purchases were clearly seen on Euros, Dollars and Australian Dollars – all of which the Pound has had a net loss against today.

Those with currency to buy should be looking to follow suit before rates take their expected tumble on Tuesday.

I strongly suggest that anyone with a GBP/EUR, GBP/USD or GBP/AUD requirement should contact me on jjp@currencies.co.uk to discuss a strategy for your upcoming transfer in order to maximise your Euro or Dollar return.

These currently favourable rates of exchange can be pegged to avoid harmful movements against your favour on a future transfer occurring. 

Those looking to purchase Sterling can also contact me to discuss how to ride any positive movements in your favour next week to their conclusion within the time-frame you have to complete your transfer.

Sterling exchange rates up against Euro and Dollar yet down against Australian Dollar (Daniel Wright)

The Pound had a mixed day against most major currencies yesterday, making slight gains against the Euro and Dollar yet losing ground against the Australian Dollar overnight.

Unemployment levels showed an improvement to 5.3% for the U.K yet average earnings actually dropped off so employment data released in the morning more or less cancelled each other out.

The Euro is particularly shaky as it stands with fairly dovish comments from the Head of thew European Central bank Mario Draghi speaking this morning not helping and pushing the Euro to a three month low against Sterling meaning it is the best time to buy Euros in the past three months!

The Dollar has been a funny character of late and I believe that there is still scope for it to drop back towards 1.50 should the wheels remain in motion for an interest rate hike in December.

Regarding the Australian Dollar we had a big surprise as unemployment figures came out much better than expectations, leading to Australian Dollar strength overnight and pushing rates back into the 2.12 region. What is surprising at present is that the Australian economy is standing tall once again in the midst of a Chinese slowdown.

The Australian Dollar is showing as good a defence as the Australian rugby team did in the rugby world cup, much like it did in the European crisis but I am still firmly of the belief that at some point we will see a Nonu time crumble and the rate may make it back to 2.20.

If you are looking to purchase Euros, Dollars, Australian Dollars or any other major currency and you want to make sure that you get the most for your money then it is well worth you contacting me directly. You can email me (Daniel Wright) on djw@currencies.co.uk with a brief description of your requirements and the timescales you are working to and i will be more than happy to contact you personally.


*Breaking News* Inflation hearings put off until next week (Steve Eakins)

The inflation hearings have been put off until next week now. This is likely to spread the fallout from the news last week and the delay itself has released a lot of pressure off the Pound in the short- term. GBP/EUR is back above 1.41 and GBP/USD is at 1.51.

My post from earlier outline the expectations once these hearings do take place. So in the meantime this is a further gift for those looking to use Sterling as a purchasing currency in the short-term.

As the post below explains, feel free to contact me for a free and competitive quote on your transfer by calling 01494 787 478 and asking the reception for Steve. We can also discuss a strategy for your transfer if your requirement is not until later in the year or in 2016. hse@currencies.co.uk

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