GBPUSD forecast: Where next for the sterling v dollar pairing?

GBP to USD Forecast: UK Prime Minister Moved to Intensive Care

With GBP/USD exchange rates hitting the lowest levels seen since 1985 in trading last week many investors and speculators are wondering just where this currency pairing may head next. It seems like a large part of the move was down to investors rushing to move funds out of the U.K stock market and into cash or safer haven currencies as the Coronavirus takes hold of the world and many countries head into lockdown for what may be a sustained period of time.

There are few analysts out there that appear to see the Dollar weakening off in the near term as this global crisis continues to take its grip, moves from central banks and Governments have done little to dampen down the panic sell off and the Dollar and the Swiss franc are two currencies that seem to be reaping the benefits from the situation. Today the dollar has remained volatile against sterling with the high to low for the pairing sitting at almost 2 ½ cents on the day, timing could make a huge difference to a currency exchange made at the right time of the trading day.

Due to a lot of the movements we have seen being Coronavirus focused it is very hard to know just where the markets will head next and it has thrown the predictability of the currency markets into somewhat of a lottery. I would expect that with lock downs being put into action all around the world we may even start to see the economic calendars impacted and the flow of data for the market to feel off of slow down, but time will tell.

If you have built up a vast sum of USD (or any currency pegged to the dollar) then it may be a prudent time to start considering your options and speaking to an experienced and proactive currency exchange specialist. Our traders here have numerous market tools that can help you limit the risk caused by quickly changing currency markets such as limit orders and forward contracts.

Feel free to get in touch with us today by filling in the form below, we will be more than happy to get in touch and to discuss the various options available to you.

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