Pound to Canadian Dollar exchange rates: Will Boris be back next week?

Pound to Canadian Dollar Forecast: Loonie Dips on Volatile Oil Prices, GBP to Benefit

Will Parliament be recalled?

Boris Johnson may be back in the House of Commons quicker than he thought as the highest civil court in Scotland yesterday ruled that proroguing Parliament was unlawful. The case will now be heard at the Supreme Court on the 17th September and if the Supreme Court agrees with the Scottish Courts judgement, Boris could find himself facing MP questions about Brexit as early as next week.

More Brexit uncertainty

This week KPMG have waded into the debate about how the UK economy will perform in the event of a no deal Brexit. Like many forecasters KPMG believes a recession is on the horizon and Britain would lose 1.5% in growth. The next 7 weeks is going to be crucial for clients converting pound and Canadian dollars. The future of the UK within Europe is unclear however predictions are that the pound will crash if the UK leaves without a deal which is a concern for clients purchasing Canadian dollars.

However law has been passed that Boris must seek an extension if the UK cannot reach an agreement by mid October, therefore at this stage I expect this is the most likely outcome. Nevertheless leaders within Europe still need to approve the UKs extension and with leading nations including France starting to feel the heat from the public, an extension isn’t guaranteed.

President Trump set to meet Iranian President

In other news President of the US Donald Trump has stated this week that he plans to meet the Iranian President Hassan Rouhani at the UN meeting latest this month and oil will be on the agenda. Market commentators are second guessing that this could be the first step to sanctions being lifted on Iran which could mean the price of oil will come down. If this materialises history tells us that the Canadian dollar is set to devalue in the months to come.

For clients that are buying or selling Canadian dollars and would like further information feel free to contact me directly using the form below. I look forward to hearing from you.