Will the Pound tumble this morning?

GBPEUR rate remains steady as markets await the Autumn Budget

I have highlighted this morning as the opportunity for anyone looking to buy the pound. That is because at 09.30 we have UK Unemployment data and the Bank of England Minutes from their last meeting. Let us have a quick look at why these are important and why they could provide a good opportunity in what is a tough market for anyone selling a foreign currency to buy the pound.

Unemployment – Currently at 8.4% and expected to remain at this level, the number out of work is at 2.67 million. High Unemployment means less tax revenue, higher benefit costs and less consumer spending which all leads to lower growth in an economy. It puts a real strain on the economy and since the UK’s position is not improving fast, is a weight on the pound. If the data comes in this morning better than expected we could see the pound get a lift, but since no change is expected there may not be too much movement. If it has risen, we will surely see some sterling weakness.

If you are looking to make any currency transfers and are hanging on waiting for the right time we can help. You can open a free, no obligation trading facility in minutes online and trade once this is done. Call me on 01494 787 478 or email jmw@currencies.co.uk asking to speak to me, Jonathan, quoting PSF.

Bank of England Minutes – The MPC (Monetary Policy Commitee) set interest rates for the UK at the Bank of England. There has not been any change since May 2009, but this meeting also determines whether or not more Quantitative Easing will be announced. The meetings takes place on Wednesday of the first full working week in any month, with the decision on the Thursday. Then two weeks later the minutes are released which show how the members voted. This is what we will learn this morning at 09.30. Will we see a sign that more QE is on the horizon? It is these sentiments that will move the pound and are worth being aware of today.

If you have any transfers to make we can help with the very best exchange rates as well as all the information you need to make an informed decision about when to trade. If you would like to find out more why not speak to me directly on jmw@currencies.co.uk or call 01494 787 478 and ask to speak to me, Jonathan, quoting PSF.

I look forward to hearing from you and assisting with the best deal!