Sterling drops to its lowest level since the ‘Flash Crash’, will the drop continue? (Joseph Wright)

GBP EUR Exchange Rate: Weekly Review December 4th  

Sterling exchange rates have experienced another turbulent afternoon of trading after comments from two prominent UK figureheads have weighed on the Pounds value once again.

After quietly recovering some of its recent losses the Pound dropped in value within a matter of moments, wiping away those gains after the governor of the Bank of England (BoE), Mark Carney announced that the BoE cannot ignore the significant drop in Sterling’s value.

Many instantly conveyed thee comments as a reference to another potential  interest rate cut next week, and the Pound ended up down against the loonie by almost half a percent trading at 1.6250, after earlier in the afternoon dropping as low as the early 1.61’s after Carney’s comments.

Those planning on making a currency exchange between Sterling and the Canadian Dollar may wish to consider the potential action the BoE may take in the upcoming weeks, as another interest rate cut down to 0.10% from the already record low of 0.25% could have further negative implications for the Pounds value.

The Pound has already lost a substantial amount of value since the Brexit vote back in June this year, and the currency lost further value earlier this month after Theresa May along with numerous European figures took a hard stance on the Brexit, which is scheduled for March of next year.

The next event to look out for for will likely be this Thursday’s UK GDP figures, feel free in get in touch if you would like to discuss this event in further detail.

If you would like to discuss an upcoming currency exchange between the GBPCAD pair, feel free to get in touch directly on [email protected] with an outline of your plans. Our long standing currency brokerage has access to exchange rates that can improve on your banks by up to 4%, and we can also assist you with timings which can be just as important. Please note that we specialise in bank to bank transfers.