So far this week the Pound started off slightly down against the Euro but has made gains against most other currencies, most notably against the New Zealand Dollar where we have seen a great lift up to the 1.86 mark as I write this.
A number of weeks ago levels like this looked totally out of reach however with falling whole milk powder prices (New Zealand’s largest export), a rapidly rising housing market and the potential of fiscal changes on the horizon we have seen a bout of weakness for the New Zealand Dollar, making it cheaper to buy.
Tomorrow we have a busy day for those looking to buy or sell Euros, as we have the release of the European Central Bank interest rate decision and press conference at 12:45pm and 13:30pm respectively.
There are no expectations of a change in interest rates for the European Central Bank however it would not be a greatr surprise to see a hsmall change in fiscal policy hinted at during the press conference in early afternoon trading.
The press conference can lead to quite a large shift in the Euro exchange rate and we have seen multiple cent movements during the conference, so if you have a currency exchange to carry out involving the Euro it may be prudent to keep a very close eye on the market during this time.
On Friday we have the release of GDP (Growth figures) for the U.K and they will more than likely set the scene for how the Pound may perform for the day. Later in the afternoon we have a similar release from the U.S and then as we edge towards the end of the week and indeed the end of the month no matter what currency you are looking to exchange you must be wary of month end flows, where large corporations net off positions as we head into the final few hours of a month.
If you have a large currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency. A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Daniel Wright) on email@example.com and I will endeavour to get back to you as soon as I can.