Will the pound find a higher range in the coming weeks?

GBP/EUR exchange rates - What to look out for this week

The pound has hit new fresh levels in the last few weeks as the improvements in the outlook over Brexit and also UK interest rates help the pound to rise higher. Expecting the rates to carry on rising higher could ultimately end up disappointing clients holding hoping for fresh new news which will trigger such a reaction.

I would expect that the pound will actually struggle to reach new higher levels as the market has had its run of good news so far. The pound has risen owing to the improved outlook and increasingly positive expectations but surely this won’t last? Almost every time the pound has risen higher against other currencies it has soon dropped back, this is partly owing to the uncertainty remaining over Brexit and also fears the UK economy might not be as strong as many had hoped.

If you have a transfer buying or selling a foreign currency against the pound the key dates this month are the 17th and 18th April next week when we have the latest UK Unemployment and Inflation figures. The new will be key to informing the Bank of England just how to go about voting in the future for any interest rate hikes and could well see the pound fluctuate.

There are many expecting the rates will drop slightly as the data could be less supportive of an interest rate hike than previously believed. Partly this is being put down to the snow the UK had last March which will have caused some economic disruption as business and consumers struggled to get to work.

If you have a transfer buying or selling the pound keeping up to date with us is the best way to help maximise your transaction and trade at the higher levels. For more information at no cost or obligation please speak to me Jonathan Watson by emailing jmw@currencies.co.uk.

Thank you for reading and I look forward to hearing from you.