The Pound has come under pressure over the past few days, losing value against its counterparts and making the buying of other major currency pairs more expensive.
It’s difficult to determine the direction of the Pound in the short to medium term future, and there are currently a number of differing factors driving its value with some positive and some being negative.
Last week markets were buoyed and the Pound jumped in value after the UK inflation level held at 3% which was above economists forecasts. This lead markets to believe that a UK interest rate hike is likely this year which pushed up the Pounds value and it hit the top end of its 8-9 month trend against the Euro.
The mood appears to have changed since last Thursday though, as Sterling is now coming under pressure mostly owing to fears that the transitional deal for the Brexit may not be agreed by the European Council summit on the 22nd of March. This matter is likely to continue to drive GBP exchange rates and it’s certainly something to follow.
Later today Foreign Secretary Boris Johnson will be giving a speech touching on Brexit, and it’s widely predicted that he will appeal to heal the cracks between the Brexiteers and the Remainers. Comments from a figure as significant as him can result in volatility for the Pound, and if you wish to be updated in the wake of a spike in the rates, do feel free to get in touch with me and register your interest.
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.