Here we are, on of the most important elections in UK history, and anyone with a Canadian Dollar buying requirement using Sterling (GBP/CAD), or Sterling buying requirement using Canadian Dollars (CAD/GBP) should be watching very closely.
The impact for this particular election on the value of the Pound is arguably more significant than others of its kind. The impact is not just on policy for the next four years, but has a heavy bearing on how Brexit negotiations will be handled and what the aims of the negotiations are – which have much more far reaching consequences.
Whilst GBP/CAD has been rising, this is largely due to a further reduction in prices for oil. This is due to increased tensions in the Middle East with the cutting of diplomatic relations between Gulf Cooperation Council (GCC) countries and Qatar following allegations of terrorist financing. So without cut in the Canadian Dollar’s value, GBP/CAD would have remained very stable in recent weeks.
This is evident of a market which is fairly uncertain as to what the result may be. Will the Conservatives be able to hold onto their majority? Or will a messy hung parliament ensue? If it is the latter you will likely see GBP/CAD fall, given that there will be low demand for Sterling in a period where markets are unsure what form of Coalition Government would emerge.
I have never had an issue securing more competitive exchange rates than what is on offer elsewhere, and these current buying levels can be fixed in place for a future requirement. This is particularly important given that the repercussions for this vote are far reaching so you could see transfers even 4 or 5 months from now being affected by the results.
You can contact me on [email protected] and I will respond to you as soon as I am able with a quote and a tailored strategy for any of your upcoming transfers.