Fresh concerns over the price of Oil following the latest OPEC (Organisation Petroleum Exporting Countries) concerns. Essentially calls to limit global production to help the price of oil rise have hit stumbling blocks, there is an expectation production caps in place will be extended further into 2018. Expectations are that such developments may ultimately prove unlikely, hence the fall in the value of the Loonie.
If you need to buy Canadian dollars with pounds then getting something done sooner than later is the best way forward. Overall plans for buying or selling Canadian dollars against the pound should centre around the outcome from the latest OPEC meeting, plus look at the latest developments with Brexit.
Even if the OPEC meeting does not make progress and the Loonie falls further, the pound could well slip on the back of the EU Summit on the 14th – 15th December where we will get the latest news regarding whether or not the UK will be able to progress to the next steps of the Brexit plans. The Loonie is looking much better against sterling compared to prior to the Referendum, whilst CAD sellers will perhaps long for rates to go back to sub 1.60 as they did earlier this year, trades in the 1.60’s could well become more likely soon.
If you have a transfer to make buying or selling the Canadian dollar. then making plans around some key developments in the coming weeks and months is sensible. Certainly for Loonie buyers you will probably not want to miss out on rates above 1.70, the outlook does not indicate remaining above 1.70 is guaranteed.
For more information at no cost or obligation please speak to me Jonathan Watson by emailing [email protected].