GBP/CHF rates have crashed during Thursday’s trading, following a poor set of data for the UK. The pair dropped to a low of 1.4462, despite opening above 1.47 and continued Sterling’s poor showing since the turn of the year. What was dubbed by investors “Super Thursday” was anything but and the Pound has lost value across the board.
Pressure is building and with the Bank of England (BoE) cutting growth forecasts again for the UK, I do not expect this trend to change over the coming weeks. Today signalled a key moment for Sterling as any hope of a recovery hinged on some positive data and bullish statements, none of which came about. Whilst interest rates were kept on hold at 0.5% as expected, the damage to GBP was done during BoE governor Mark Carney’s subsequent speech and the latest BoE minutes. These gave us a key insight into our central banks current thinking and it seems as though their stance has shifted since the turn of the year. They now seem to accept the current levels and seem fully at ease with Sterling’s current value, probably because they feel this will allow our export industry to grow and solidify our trade arms with the Eurozone.
If you have an upcoming currency requirement and would like to compare our award winning exchange rates with your current provider, or would like to discuss the current market conditions and forecasts ahead of your transfer, then please feel free to contact me on 0044 1494 787 478 and ask one of the reception team for Matt. Alternatively, I can be emailed directly on [email protected]
