GBP/CAD sliding ahead of interest rate decision (Joshua Privett)

GBP EUR Exchange Rate: Weekly Review July 16  

It’s only Wednesday evening and already buying rates on Canadian Dollar rates have been subject to significant movements, with GBP/CAD getting as high as 1.76 and by this afternoon is back into the 1.71’s.

The initial climb to begin the week has been associated with talks of a ‘softer’ Brexit being introduced by incoming Prime Minister Theresa May. She was making calls before the campaign for leadership and during that she would be looking to wait about a year before enacting Article 50 – the official measure to start the leaving process for the UK.

Such a call has brought some much needed stability to the marketplace following the Brexit and the expectations that we would be having to endure a 2 month leadership battle with little done to combat the UK’s precarious position in the marketplace. With May taking the reins early, markets are content with the early introduction of some much needed damage control.

However, the Pound has now begun to slide heavily this afternoon.

This is likely in anticipation of the UK interest rate decision to be released tomorrow, where we may actually see an interest rate cut to protect the economy in this currently volatile atmosphere.

Should this happen GBP/CAD will likely weaken alongside the reduced buying power of the Pound. It’s value will likely fall alongside its demand as investors will look to alternative currencies which hold higher returns.

I strongly recommend that anyone with a Canadian Dollar buying requirement should contact me on [email protected] to discuss a strategy for your transfer in order to maximise your currency return.

I have never had an issue beating the rates of exchange offered elsewhere, and these current buying levels can be fixed in place to avoid the uncertainty before the end of the week.