There hasn’t been much movement on the currency exchange markets today, as there hasn’t been any major data releases or political unfolding’s to provide the Pound with much direction.
Its likely that moving forward GBP exchange rates will continue to be driven by politics for the most part, especially surrounding Brexit related updates but I think that economic data is beginning to have more of an influence on the Pounds value.
Sterling would most likely be trading at a higher level than its current prices had the interest rate hike from the Bank of England earlier this month of actually taken place. Once the data begun to disappoint the markets, showing that the UK economic output in the first quarter of this year has dropped off to a 5-year low, hopes of the rate hike slipped which pushed the Pound lower.
If economic data picks up, and talk of a rate hike later in the year increases I think we can expect to see the Pound climb.
Tomorrow morning there will be Manufacturing data released out of the UK, and then on Monday Construction data will be released. Services data, which is the most important sector in the UK will be released on Tuesday so its worth watching the markets at 9.30am if you have a currency exchange to make involving the Pound.
Friday will perhaps be the busiest day next week, and if any of our readers would like to discuss why, feel free to get in touch.
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.