Despite the Pound rallying over the past week or so we’ve seen it’s bullish run come to an end today, as the currency has softened by at least half a percent versus both the Euro and the US Dollar.
Economic news out of the UK recently has mostly been coming out considerably better than analysts expectations, and that’s left Sterling sellers with the opportunity to make their conversions at considerably better rates of exchange than would have been available just a couple of weeks ago. Those hoping to capitalise on these improvements may be wise to consider making that move sooner as opposed to later, because as we’ve seen today I’m expecting financial markets to react quickly and negatively to weak economic data out of the UK at the moment due to market sentiments towards Brexit.
Today’s economic update, released by the Office of National Statistics showed that Manufacturing Production contracted by a considerable 0.9% in July, which was disappointing for those hoping the Pound would continue to climb as previous to today’s news release the last set of Manufacturing data we saw (Manufacturing Purchasing Managers Index) was particularly positive.
Moving forward, I expect to see the Pound come under further pressure as despite the recent Services PMI figure posting the biggest gain record (on Monday), we still haven’t seen the Pound test the psychological level of 1.20, and I think after the Pounds recent gains there is likely to be profit taking from market speculators which may drive Sterling’s value down once again.
If you have an upcoming currency exchange to make and would like to discuss it, feel free to get in contact with me (Joseph) on email@example.com and I’ll be happy to discuss timings with you as well as being able to offer award winning exchange rates. If you would like a quote just email me with an outline of your plans and I’ll be back in touch with you as soon as possible.