GBP/CAD Remains Within a Few Cents of the 2 Year High Despite COVID-19

Pound Sterling Moves Higher Against the Canadian Dollar on Oil Price Concerns

The Pound against the Canadian Dollar currently sits just under 5 cents below the high for the last two years, as the volatility looks set to continue. In the last few weeks we have seen the GBP/CAD rate as low as 1.65 however the rate is currently floating just below the 1.75 level putting the rate just off the 1.80 highs of the last few years.

What this does suggest is that if you’re looking to purchase Canadian Dollars despite the troubles that Sterling has had in the past few weeks the GBPCAD rate is still looking strong.

Main stream media more often than not only reports Sterling against the Euro and US Dollar, which would provide a negative outlook for Sterling but against over major currencies the pound has been doing well.

Anyone with a transfer to complete in the future will no doubt be watching the live exchange rates like a hawk and waiting for a prime moment to complete a exchange. This week from a Canadian Dollar perspective the main thing to look out for is talks surrounding oil, the price of a barrel has been falling in the last month with so much uncertainty surrounding production and over supply.

The global lockdown has reduced demand enormously and despite Presidents Trumps efforts to calm markets by suggesting the US will reduce production, other countries around the world don’t have that luxury.

OPEC


This morning the price of oil has already fallen and talks between the OPEC nations have once again not provide fruitful. If there isn’t any deal put into place in the near future then this could have a major effect on the likes of the Canadian Dollar as it is their main export. There appears to be some signs of Corona Virus being a little more controlled across the UK and Europe and this might help to strengthen the pound even further, it’s worth noting that Sterling is still below it’s pre COVID-19 levels.

If you’re looking at making a transfer in the near future and wish to send money abroad I would be more than happy to discuss what you’re looking to do and see if I can be of assistance to maximise your transfer.

If you have a currency requirement and would like to discuss your options, feel free to get in touch using the form below.