Tag Archives: sterling exchange rates
The pound as of this morning is firmly back under pressure against most of the major currencies with Brexit now fast approaching having started 2017. GBP EUR has slipped to below 1.17 this morning and this is most likely as a result of the new appointment of Sir Tim Barrow as the UK’s new Ambassador to the EU. The drop in sterling in my view is likely to be attributable to the perception that this change of Ambassador could help Theresa May push for the “hard” Brexit option which the markets generally perceive as high risk for sterling and hence the weakness in the pound.
Politics will be a central theme for sterling exchange rates as we approach 31st March, the date by which UK Prime Minister Theresa May will formally give notice that Britain is leaving the EU. Developments over Brexit are changing virtually by the day and this is having a real impact on the price of sterling. For up to date information and guidance with regards timing a currency exchange then feel free to make contact and we can try and assist.
Although European politics will have a major part to play for Euro exchange rates, the first major election in the Netherlands won’t be held until March. My view is that these European elections could be very damaging for the Euro although for the next three months it is Brexit which is likely to be the major driving force and which steals the headlines.
As such those clients needing to buy Euros are more likely to be hindered by the nervousness and uncertainty over Brexit over these next few months. Those clients holding pounds needing to buy Euros or US dollars for example are unlikely to see major improvements but there will be some opportunities in these markets. For those clients that need to buy sterling and are selling Euros then there could be some sizeable gains to be taken advantage of as we approach 31st March,.
On a more upbeat note the pound has received some small positive releases from the manufacturing and construction sectors following very strong Purchasing Managers Index surveys for these sectors. The numbers arrived better than expected in both cases which highlights optimism for the British economy.
However UK household borrowing has now risen to the highest levels since the financial crisis of 2008. This is a worrying development especially at a time when interest rate policy by central banks is at a turning point. News like this is not going to help drive the pound higher when debt levels are at such high levels.
If you would like further information on any of the major currencies to include GBP, EUR USD, AUD and NZD and to discuss how we can assist then please feel free to contact me on 0044 1494 787 478 and ask one of the team for James. Alternatively, I can be emailed directly on email@example.com
The pound has just started to slip back across all of the major currencies as we approach the festive break. UK GDP numbers are released tomorrow which could make for an interesting day to end the week before Christmas.
The Supreme Court ruling on whether Theresa May must consult Parliament before invoking Article 50 should give new direction for sterling exchange rates depending on the outcome. If Theresa May does with the appeal which cannot be ruled out then this is likely to see the pound weaken very quickly in the short term.
This would signal a hard Brexit as the Prime Minister could effectively bypass all those Members of Parliament who wish to remain as close to Europe as possible. So much rides on this outcome that this in my view will be the most important driver for the pound in January 2017. The other risk of course is that if Theresa May loses the appeal there is a chance that a general election could be called so the government can demonstrate a clear mandate to proceed with the Brexit.
As such I see more risk for the pound in early 2017 considering the higher levels the pound has been trading at with rates for GBP EUR currently sitting just above 1.18. Article 50 still needs to be invoked in the next three months and there is likely to be considerable volatility as we approach the end of March. Those clients looking to buy Euros may be wise to consider taking advantage of the current higher levels for this pair.
If you have an upcoming currency requirement either buying or selling currency and would like to be kept up to date with all the latest market movements, or simply wish to compare our award winning exchange rates with your current provider, then please feel free to contact me on 0044 1494 787 478 and ask one of the team for James. Alternatively, I can be emailed directly on firstname.lastname@example.org
Sterling exchange rates have continued to fall since yesterday afternoon as the positive gains following the Italian referendum seem to have disappeared.
The focus will now turn to the ongoing discussions with the Brexit discussion and the current court case involving the Supreme Court.
Prime Minister Theresa May agreed yesterday that she will publish her plan about how the UK will leave the European Union but the timing of the release is as of yet unclear.
It appears as though Theresa May has had her hand forced by Labour who wanted to see what the plan is in order to proceed with Article 50.
Labour would like the plan to be published by January which may coincide with the judgment made by the Supreme Court.
The next potential for volatility for Sterling vs the Euro will come on Thursday when the European Central Bank meet to discuss their latest interest rate decision.
The ECB have been really struggling to control falling inflation recently and their current Quantitative Easing programme does not appear to have had the desired effect.
Therefore, I think even if the central bank does not change the current QE programme any hints that more easing could come could potentially see Sterling make some gains vs the Euro.
The NIESR publishes it latest set of GDP data for the three months up until November at 3pm today and although this data is not the official release it is usually fairly accurate and therefore often has a big impact on exchange rates.
Having worked in the currency markets since 2003 I am confident that not only can I offer you better exchange rates than by using your bank but also help you with the timing of your transfer of funds.
If you have a currency requirement and would like to save money when buying currency then contact me directly for a free quote and I look forward to hearing from you. Tom Holian email@example.com
The pound has entered a fresh period of buoyancy finding favour against all currencies in November. October was a month of tremendous uncertainty but sterling has now recovered and this is presenting some very good news opportunities to buy a foreign currency. December is already looking extremely interesting with some very important events in the Eurozone and the United States which you can read more about in my post from this morning here. Otherwise let us have a look at some of the key decisions which will shape sterling exchange rates for the end of 2016.
The Supreme Court decision is one of the biggest factors for the pound in my opinion since it highlights the path to Brexit. The decision as to whether or not the UK will have to seek parliamentary approval to trigger Article 50 is of major consequence to the pound. If the Supreme Court rule Parliament does then we will surely see sterling rise since it makes the ‘hard’ Brexit Theresa May is apparently pursuing less likely. Parliamentary approval will undoubtedly hinge on severe watering down of the terms and even raises the possibility Brexit may not happen. The court decision may not be known until January but the story will be big news for December and early January.
If you are planning a currency exchange involving sterling I would be making plans around this information, it looks likely the vote will be upheld so sterling could rise further. If you need to buy or sell the pound then making some plans sooner rather than later is best to avoid the uncertainty this event presents to financial markets. For more information on this event and how to take advantage please speak to me Jonathan by calling 01494 787 478 or emailing firstname.lastname@example.org
Philip Hammond has no easy task ahead this week as he sets out his plans for the UK economy moving forward. With Brexit still dominating politics and economics there is lots of pressure on the Chancellor to outline an economic plan of Britain that will match the commitments of the new Prime Minister and her colleagues. As always there have been a few leaks in the press over the weekend so let us look at these and work out how it will affect the economy and the pound moving forward.
You don’t have to travel too far in the UK to be reminded of the problems with UK roads. Report suggest over £1bn worth of investment in UK roads with a new expressway between Oxford and Cambridge. Infrastructure spending is to be much welcomed as it will increase efficiency of travel around the UK which will only help business. This should be good for the pound in many respects since it will help the UK economy longer term.
There is a flipside in that government borrowing is at record highs and further borrowing goes against the grain of what previous Tory administrations worked hard to (unsuccessfully) establish. If you look to the last election the Tories gained power on economic prowess promising not to tip the country into massive debts which of course they still did. If the current administration now spends lots it could risk upsetting the financial markets that so strongly backed the Tories last year.
Times have of course changed and given the backdrop of Brexit and a mood that tough austerity just isn’t necessary we could see more leeway from markets. On the whole I would expect the Autumn statement to be cautiously seen as sterling positive but any clients looking to buy or sell this week should be preparing their exchange today to limit their exposure and be preparing for the date.
If you are considering an exchange and wish to talk to a specialist about the relevant issues and ins and outs of transferring money at the very best rates of exchange please speak to me Jonathan Watson by emailing email@example.com or please fill in the form below.
Despite some sizeable wobbles at the top the pound continues to maintain the higher ground against most of the major currencies. GBP EUR is back over 1.16 and has recovered from Tuesdays sharp decline following a leaked report surrounding Brexit which turned out to not be credible. GBP USD is struggling to climb much higher but is safely over 1.24 for the time being.
UK retail sales data are released this morning and could create some volatility for the pound. Often in the Christmas run up there can be big spike higher in retail sales but I don’t think we are at that time yet.
EU inflation data is also released today and should give the European Central Bank (ECB) some new direction. The ECB has been fighting a losing battle against persistent low inflation and weak growth for years. With the Trump election victory expected to cause uncertainty for the Eurozone then it is likely that ECB President Mario Draghi will look to extend its Quantitative Easing scheme sooner rather than later. An extension of 6 months is on the cards and such action would likely see the Euro weaken. A weak inflation number this morning could be the signal that Mario Draghi will take action at the next ECB meeting in December. There may be a jump higher for GBP EUR on the back of a weak number. Clients looking to buy Euros should be aware of the December ECB meeting as it could provide a very good opportunity to buy Euros.
Clients who are holding sterling are finally seeing some better times after all the Brexit uncertainty. There may be a little bit further to go for the pound although there will inevitably be more problems to come for the pound in the form of Brexit. Clients who are selling Euros or selling Australian dollars for example would be wise to consider taking advantage of the excellent levels which are currently still available.
If you have an upcoming currency requirement either buying or selling and would like to be kept up to date with all the latest market movements, or simply wish to compare our award winning exchange rates with your current provider, then please feel free to contact me on 0044 1494 787 478 and ask one of the team for James. Alternatively, I can be emailed directly on firstname.lastname@example.org
After a brief fall for Sterling vs the Euro and US Dollar during yesterday’s trading session the Pound has already recovered this morning. After a leaked memo which showed the UK has little idea about its Brexit plan Downing Street has ‘wholeheartedly’ rejected the comments.
Prime Minister Theresa May is still insistent that Article 50 will be triggered by the end of March but owing to the recent High Court ruling this has stalled at least for the time being. The appeal is due to take place in December but the answer as to whether Article 50 can go ahead without parliamentary approval may not happen until January.
However, the good news for the UK and therefore Sterling exchange rates is that Angela Merkel has hinted at a key concession on free movement of people and that Britain could potentially retain access to the single market.
This has helped the Pound gain against all major currencies this morning and is seen as a sign that Europe is warming to potential negotiations between the UK.
Theresa May will be meeting with Angela Merkel in Germany on Friday and depending on how the talks go this could cause further volatility for Sterling Euro and US Dollar exchange rates. If they go well I expect to see Sterling make some gains against the Euro and the US Dollar.
Previously EU leader Jean-Claude Juncker has previously stated that access to the single market would be impossible but Merkel’s potential change of heart is clearly a good sign for the UK.
Having worked in the currency markets since 2003 I am confident that not only can I offer you bank beating exchange rates when buying or selling currency but also help you with the timing of your transfer.
If you need to make a currency transfer and would like further information about the process or a free quote then contact me directly and I look forward to hearing from you.
Tom Holian email@example.com
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