The Pound has begun the week with no clear sense of direction as its performance is mixed against the major currency pairs this morning.
This is likely due to financial markets awaiting news on the five new papers on Brexit that will be released this week. Last week there was a release of the first white paper which covered the freedom of movement between through the Northern Irish border which resulted in a slight boost to the Pounds value.
Inflation data last week disappointed resulting in less likelihood of a rate hike from the Bank of England this year which was Sterling negative, so moving forward I think those hoping for a boost to the Pound’s value will hope the markets receive news of the five new white papers as positive.
With Brexit negotiations apparently beginning badly and Brexit Secretary David Davis implying that the European Chief Negotiator Michel Barnier is getting a bit ‘fed up with us’ I think there needs to be a real positive for the UK in order to give Sterling a much needed boost, especially now that GBP/EUR is trading below 1.1o.
Aside from the five Brexit papers we’re waiting on there will be Public Sector Net Borrowing figures for July released tomorrow at 9.30am which could impact rates. Then at 9.30am on Thursday UK GDP figures will be released with 1.7% growth the expectation Year on Year. Expect any deviations form this figure to have the potential to move the markets.
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 (Joseph Wright) on [email protected] and I will endeavour to get back to you as soon as I can.