Buying Canadian Dollar rates of exchange using the Pound have taken a hammering as of late due to positive news emerging from Canada, contrasting the prolonged and uncertain atmosphere in the UK.
But after a week and a half of delays in announcing the new Government and its plans, this may be about to change. The Queen’s speech and the commencement of the new Parliament begin today, and some clarity on the UK’s situation may finally bring some life to the Pound.
Speculation has been rife. Will the UK be aiming for a softer exit from the EU now given the most recent election results? If so, which features will they aim to keep in their affiliation with the EU? Even fundamental questions like whether the Conservative Party members will fall in line with Theresa May must be addressed.
For now GBP/CAD exchange rates are back to the levels seen in April, but still 5 cents higher than the worst levels in January.
At this point markets have opened up low for Sterling. This is unsurprising, some will be wishing to relieve themselves of Sterling by selling it off in case any major controversies occur. This is not necessarily the trend for the day, but more cautious trading ahead of long anticipated and likely big news.
Positive moves in oil prices have dominated the GBP/CAD pairing recently with the Canadian Dollar making significant inroads within a short period, however, the baton will be squarely in the UK’s court today.
I feel that any clarity should be positive, it is just a question of how well markets could receive the news. GBP/CAD may only go up 0.5 cents or it could go up 3.
In these situations where a positive spike is expected, a popular option retail and corporate CAD buyers alike may wish to consider is a Limit Order. This is a free tool which allows you to secure an exchange rate you desire the second it is hit in the live market.
I strongly recommend that anyone with a Canadian Dollar buying or selling requirement should contact me on [email protected] to discuss a strategy for your transfer aimed at maximising your currency return.
I have never had an issue beating the rates of exchange on offer elsewhere, and these current buying levels can be fixed in place for anyone planning a transfer later in the year and wish to secure the current exchange rates available now. This is a popular option for anyone selling Canadian Dollars to buy Sterling.