Its been a mixed day for sterling exchange rates as average earnings remained at 2.8%, but unemployment fell further to 4.2%. Sterling has made gains against some currencies and losses against others.
Tomorrow the UK will release their latest inflation numbers and investors will be watching closely to see if inflation falls below the average earnings numbers. If inflation falls you would expect to see the pound lose some value, however if inflation falls I expect an interest rate hike by the Bank of England is almost a certainty therefore I expect a slight rise in the pounds value.
Thursday morning is the latest retail sales numbers. The monthly figure is set to fall due to the bad weather over the last 4 weeks therefore this release may not help clients that are purchasing a foreign currency.
To finish the week, on Friday at 9.30am, MPC member Mr Saunders will deliver a speech in regards to the economy. I would be surprise if he does not cover the important data that would have been released this week. Any guidance in regards to the interest rate decision could have a major impact on sterling’s value.
When buying or selling the Pound its important to analyse both currencies that you will be trading (GBPUSD, GBPEUR, GBPAUD). If you would like to save as much money as possible feel free to email me with the currency pair you are looking to trade and the time-scales you are working too and I will email you with my forecast and the process of using our company [email protected].
As a company we pride ourselves in the ability to get you a better exchange rate than your current currency provider or your bank. In addition we can outline your options and the potential future events, which will impact your exchange rate. This will help you to make informed and educated decisions.