NAFTA talks drag on which causes the Canadian Dollar to weaken against the Pound
The Canadian Dollar has once again come under pressure against the Pound as the three countries involved in the NAFTA negotiations are not close to a deal yet.
US Congress appears to be running out of time at the moment in order to approve a new deal and with the Mexican election just over 3 weeks away I think it will be difficult to get things organised in the short term and this uncertainty is causing a problem for the Canadian Dollar.
According to one source...
GBP/CAD – Volatile Day
Yesterday ended up largely as a non-event for the value of the CAD. No significant change was seen in the value of the import and export sector, showing that they are weathering the storm of low oil prices well, but not enough to bolster Canadian Dollar value.
GBP/CAD rates were on the verge of hitting 2.06 this morning, with 'Super Thursday' today in the British Market expected to cause significant volatility for all GBP pairings.
Super Thursday refers to the interest rate decision in the UK....
Brexit still key factor in GBP/CAD buoyancy levels (Daniel Johnson)
Brexit Update
Theresa May has warned the House of Lords that if Parliament have the opportunity to have the final say on Brexit it could be detrimental to the deal struck.
If parliament are given the right to vote it would give EU negotiators further strength. Many peers at The House of Lords are expected to move against May's wishes and demand that parliament will get to vote on the final bill.
May's spokesman has stated "If we are in a position where any deal negotiated by...
Canadian Dollar loses value due to Trump Tariff (Daniel Johnson)
Lumber Tariff weakens the Canadian Dollar
The Canadian dollar has lost ground against Sterling following Trump's decision to impose tariffs on lumber exports from Canada. The dairy trade dispute has escalated. There is a new Canadian milk policy which US producers are unhappy with stating it violates the North Atlantic Free Trade Agreement (NAFTA). The US have responded by putting in place anti-subsidy tariffs of nearly 20% on lumber imports. Lumber has been a matter of contention between the the two since the 80s. Canada...
UK inflation remains high – will the BoE give the pound a boost?
UK inflation remains high – will the BoE give the pound a boost?
Economic data released yesterday shows UK inflation (CPI) remains elevated above 10.1%. Forecasters were expecting inflation to fall to 9.8% following last month’s reading of 10.4%. The inflation reduction is positive for the UK and was largely driven by a fall in fuel and oil prices. However, food prices continue to rise as the UK consumer feels the squeeze of the continuing cost of living crisis.
Sterling exchange rates have remained relatively unchanged...
GBP/CAD rates enjoying gains back to 1.88 (Joshua Privett)
GBP/CAD rates have had a day on the markets many Canadian Dollar buyers have been waiting for since seeing highs above 2.0 evapourate to their worst levels at 1.85.
A three cent boost up to 1.88 on the central level was noticed, giving anyone with a £200,000 requirement into Canadian Dollars a further $6000 as a currency return purely based on the movements seen today.
The reason for this, unfortunately, is not due to any particularly positive news for the UK economy to cause the Pound...
Will GBP/CAD continue to fall to new lows? (Joseph Wright)
Today is an important day on the financial calendar for Sterling exchange rates and I'm expecting some sharp movements in the GBP/CAD exchange rate around lunchtime, as this is when the Bank of England's Monetary Policy Committee will be announcing their most recent Interest Rate decision.
GBP/CAD is currently trading just above an almost 3 year low as the Pound has been under continued pressure since the shock 'Brexit' decision was announced, and I think that if there is a rate cut, particularly a larger...
Canadian Dollar forecast (Joshua Privett)
The Canadian Dollar has been rising against its currency counterparts recently following some impressively positive comments from the Bank of Canada.
In some off the cuff comments with a German newspaper, Governor Stephen Poloz stated that he is much more forward looking when considering future monetary policy for Canada. This speaks a lot to markets as the current state of the Canadian economy doesn't warrant a rate hike.
Interest rates are a key determinant at the moment for currency value. In a world with so much...
Pound Sterling losses continue as cost of living crisis dominates headlines – New Prime...
Sterling exchange rates have continues to drift to kick start a new trading week, as the cost of living crisis dominates headlines across UK media.
With today being an important day for UK politics as we see the announcement of the winner in the Conservative party leadership contest, and ultimately who will be the new Prime Minister, they will almost instantaneously have to announce how they plan to combat what appears to be an extremely challenging winter for the majority of households and businesses.
It is...
GBP-CAD rates back to 1.95 as Sterling loses value (Joshua Privett)
Those who were hoping that GBP-CAD rates were journeying towards 2.0 received a bit of a shock today, as rates dropped 2 cents in a single day of trading. There has been a huge volume of capital pumped into Sterling as many investors holding Euros panicked about a potential Grexit. Sterling is considered a safe-haven currency, so the continued buying of GBP artificially inflated the value of the Pound - causing gains against most major currencies.
Now the opposite is happening. With positive moves in the...
