What to expect for the pound for the remainder of the year? (Dayle Littlejohn)

If you are a regular reader you will know that Brexit talks will continue to put further pressure on sterling exchange rates for the remainder of the year. Now that UK Prime Minister Theresa May has announced she will be invoking Article50 in March we have to expect sterling weakness up until the event.

Yesterday Attorney General Jeremy Wright told the High Court once the process of leaving the EU begins there is no going back and Theresa May does not need the consent from MP’s within parliament. This is further bad news for the pound as it seems the triggering of Brexit will actually occur early next year.

A story I believe will make headline news in the upcoming months will be if the Scottish Government will hold a 2nd referendum in regards to remaining part of the United Kingdom. SNP leader Nicola Sturgeon has announced she wants the Scottish people to decide their own fate , in other words she wants Scotland to remain part of the EU and she’s happy to leave the UK to do this.

Short term the UK are set to release their latest inflation numbers this morning at 9:30. The consensus is for a slight rise which could cause the pound to spike against most of the major currencies. If you are buying a foreign currency in the short term, this is a spike you may wish to take advantage of. It takes two minutes to send me an email with your requirements and I can alert you to the buy price we can achieve presently. By doing this you can make a comparison to your own provider to make sure you are receiving the best price possible.

To answer my original question of ‘What to expect for the pound for the remainder of the year?’ I strongly believe the pound will come under pressure and there is a good chance sterling exchange rates will continue to fall. However it’s crucial you analyse both the currencies you will be trading, as there could be spikes in the market to take advantage of.

Feel free to email me the currency pair you are trading (GBPUSD, GBPAUD, GBPCHF etc) the reason for your trade (company invoice, buying a property) and I will email you with my forecast for the currency pair [email protected].

Property purchases and sales are my area of expertise, therefore if you need to purchase a foreign currency or you are about to complete on a sale abroad, today is the day to get in touch to discuss your options and to get an understanding of how we can save you as much money as possible.

** If you are already using a brokerage and would like to know if you are receiving the best rates possible email me with the exact figures and I will reply with our live price. This will take you minutes and in the past I have saved clients thousands! **

What to expect next week for the Pound (Dayle Littlejohn)

There were two main talking points for the Pound this week. Firstly, Industrial and Manufacturing production data disappointed Wednesday morning. It appears production has slowed due to ‘Brexit’ fears. In addition manufacturing output is now at a 3 year low just showing how the EU referendum is weighing down on the UK’s economy and the Pound.

Thursday the Bank of England released their latest Interest Rate decision. As expected the vote was a non-event due to a 9-0 vote (same as previous). However Governor of the Bank of England Mark Carney, stated in his press conference shortly after if the UK were to leave the EU there’s a strong possibility the UK would enter another recession.

The data releases this week show that economy is slowing due to ‘Brexit’ fears and the economy would suffer for an unknown period if the UK decides to exit. Consequently the closer we get to judgment day (June 23rd) there is every chance Sterling would have weakened all the way up to the event.

The week ahead 

This week I expect exchange rates to fluctuate due to both campaign camps entering the public eye to win votes.

As for economic data, Consumer Price Index (inflation) numbers are released Tuesday morning. Due to oil prices plummeting globally for the last 12 months inflation has been at a worrying low for a long period. This is a contributing factor to why Interest Rates have not been increased. I expect no change to the inflation number compared to last month however if there is a change we could see a volatile trading period Tuesday morning.

Later in the week (Thursday morning) Retail Sales figures are released Thursday. Last months figure of -1.3% led to the Pound to plummet. I actually expect a slight improvement therefore we could see the Pound strengthen.

When buying or selling the Pound its important to analyse both currencies that you will be trading (GBPEUR, GBPUSD, GBPAUD). Feel free to email me with the currency pair you are looking to trade and the timescales you are working too and I will email you with my forecast [email protected].

For people reading this website for the first time the currency company I work for enables me to achieve clients up to 5% better exchange rates than the high street banks and other brokerages.

I specialise in property purchases and sales. Therefore if you are buying or selling a property this year and want to save money by achieving the best possible exchange rates but also want help in timing your transfer, get in touch by emailing me on [email protected].

If you are already using a brokerage and have stumbled across this article because you are simply looking for information in regards to the currency market, I want to help you save as money compared to the brokerage you are already using. For a comparison email me with the exact figures and the currency pair and I will email you with our live buying price.

Alternatively if you would like to discuss your requirements over the phone call me Monday morning on 01494-787478 and ask to be put through to Dayle Littlejohn.

 

U.K GDP figures better than expected!

GBPEUR Rejected by 1.17 Price Level Again

Wow, what a busy day on the markets and indeed on our trading floor following much better than expected GDP (Gross Domestic Product) figures released for the U.K.

The Pound has gained against all major currencies as figures released were much better than expected coming out at 0.3% growth instead of the expected 0.1%.

This has provided a great buying opportunity for anyone looking to buy foreign currency – If you have a pending currency transfer to carry out then feel free to call me immediately [email protected] with a brief overview of your requirement and a number for me to call you back on. We specialise in getting the very best rates of exchange for bank to bank transfers so it is worth sending a quick email over for a comparison against your bank or current provider, we may save you hundreds if not thousands.

Why not join our mailing list too, I keep clients fully up to date with market movements and offer an extremely proactive service ensuring you can get on with your busy day without having to worry about what is happening on the market – we do that for you.

Once again, [email protected] is where you can make an enquiry – I look forward to hearing from you.

Currency market data that could cause exchange rate volatility this week

Last week we saw serious volatility on the currency market ultimately allowing the pound to make some good gains across the board.  Key gains from previous week lows, came against the Euro +1.66%, the US Dollar +4.9%, and the South African Rand +2.83%.

This week there are several key releases to look out for from the UK, US and EU.  Whether you are buying or selling sterling all could move the market and affect your transfer.

Today UK house price datafrom Rightmove today has caused a little sterling weakness, reminding the market of the fragile state of the housing market.  Meanwhile inflation data from Germany above expectations has caused a little single currency strength. It is Presidents day in the US so there will be limited volume exchanged this afternoon as the US markets are closed.

Tomorrow the key data from the UK is Public sector net borrowing at 09:30.  This has been a key issues for the Government and expectations are for a far lower figure than previous.  this could cause sterling strength if it looks like the coalition are bringing borrowing under control. At 15:00 US consumer confidence could cause USD movement, expectations are for a higher figure than last month, for me this could be a little ambitious.

On Wednesday at 09:30 we have the Bank of England Minutes, these could be huge for sterling as there has been massive speculation surrounding interest rate hikes in the UK lending support to the pound.  The breakdown of how the member voted may sheds some light on how likely a hike in interest rates is.

 At 07:00 on Wednesday we have German GDP data, and from the US at 13:30 jobless Claims.  The latter is renowned for causing volatility as the release can differ dramatically to expectations as the US labour market is so vast.

We round off a busy week with UK GDP at 09:30 and US GDP at 13;30 on Friday.  UK figures will be carefully watershed by speculations and investors following 2010 Q4’s shocking GDP data showing a contraction of 0.5% in the UK economy.  Another quarter of negative growth would mean that the UK is officially back in recession, so this months figure could give some insight into the likelihood of this.  There is also some speculation that Q4 could be revised upward therefore lessening the chance of a double dip recession.

Buying Euro and Dollar rates to be decided abroad today (Joshua Privett)

The pound set to make it a hattrick of daily gains versus the dominant dollar

Barring any curve-balls from the developing Brexit situation, those looking to buy Euros and/or Dollars will have to sit back and see what happens abroad to see how rates will be effected. Frankly, with the spotlight taken off the UK and it’s negative economic atmosphere, we may see some respite.

Inflation data for key individual Eurozone economies will be released, as well as the unemployment rate for some of the more struggling economies, such as Portugal.

We have already seen French industrial output figures showing a contraction for the third month in a row, despite the lifting of prominent striking taking place a few months ago.

Inflation has been a pain-point for the Eurozone for a number of years, and was the main reason why the Eurozone dropped their interest rates to 0% in a bid to encourage the healthier economic activity which comes from increased spending. Due to this I have little doubt that this data will continue to reflect poorly on the Eurozone as a whole, the only question is whether this is still old news? Will markets bat an eyelid at the confirmation of what was already known?

What may cause markets to move is that this mornings results will be used as an indication for Friday’s release of Eurozone GDP during the second Quarter of this year – the first such look at this data. This is a major market mover, and will also be the first look at how the run-up to the Brexit vote affected the Eurozone as well.

It is easy to forget just how much the news of the Brexit has affected the value of the Euro as well. There is a reason why GBP/EUR levels sit at 3 year lows whilst buying Dollar levels have collapsed to 31 year lows. This data will certainly be illuminating, and seems more likely than not to be assisting Eurozone buyers.

Little data of note will be released concerning the value of the US Dollar today, but anyone with a New Zealand Dollar requirement is set to see some very attractive buying levels tomorrow, with the heavy expectation of a rate cut there overnight.

I strongly recommend that anyone with a buying Euro or Dollar requirement should contact me on [email protected] to discuss a strategy for your transfer in order to maximise your currency return.

Whilst the heaviest movements are not expected until the end of the week, there are a number of options to be explored with a currency exchange specialist ahead of such an event to allow you to ensure any tempting opportunities are seized.

I have never had an issue beating the rates of exchange offered elsewhere, and these current buying levels can be fixed in place for any considering buying foreign currency in the near future and are worried about potential falls later in the month, and as we enter September,

Euro and Dollar sellers can also get in contact to discuss any upcoming requirements – whether that be business, or expected revenues from overseas property sales – and a brief conversation could save you thousands on your transfer. Please feel free to call 01494 787 478, and ask the reception team for Joshua to be put through to my line.

Or you can fill in the form below and I will get in touch with you as soon as possible.

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Change of plans for UK economy (Dayle Littlejohn)

This week UK Prime Minister Theresa May has been in the spotlight for many reasons. Earlier in the week she announced that the UK will be invoking Article50 and therefore starting the official process of leaving the EU. This caused the markets to get the jitters and the pound crashed against its counterparts.

In the last 24 hours it seems that she may have disagreed with Former Chancellor George Osborne economic plan of ‘balancing the books’ as she has exclaimed the UK need a fresh approach to economic management.

George Osborne’s approach was to make cuts to spending where he could and cut interest rates, which the PM has stated people with assets have got richer from where as people without have suffered. In my opinion this is a major change in sentiment which is a surprise. It feels like she completely disagreed with the Former PM and Chancellor however before she became PM she was happy to sit in the houses of parliament cheering on her former colleagues.

So if May’s new approach is to not worry about the deficit and to spend to improve the economy, the UK will have a larger debt and this could be another argument to why sterling exchange rates have plummeted again this afternoon.

All in all its not looking good for any clients holding onto sterling! 

If you are reading this website in order to find out information in regards to buying or selling the pound I can help you achieve the best exchange rates on the market whilst keeping you up to date with economic information. Its important to analyse both currencies that you will be trading therefore I would recommend emailing me with the currency pair (GBPUSD, GBPAUD, GBPCHF etc) the reason for your trade (company invoice, buying a property) and I will email you with my forecast and the process of using our company [email protected].

** IF YOU ARE ALREADY USING A BROKERAGE TO BUY YOUR CURRENCY IT WILL TAKE TWO MINUTES TO EMAIL FOR A COMPARISON AND I AM CONFIDENT I WILL BEAT ANY PRICE YOU ARE CURRENTLY RECEIVING  **

U.K back into recession!!!

GBPEUR Rejected by 1.17 Price Level Again

Just when it all looked a little too good to be true as always something came back to completely knock the Pound this morning. Sterling had been at a two and a half year high against a basket of major currencies until 09:30am this morning when we saw Gross Domestic Product figures come out at a much worse than expected -0.2%.

What does this mean?

This is not great news at all for the U.K economy, many economists thought we would see a slightly positive figure and it looked like this was priced into the market so we have seen the Pound drop away against all major currencies in early morning trading, great news for those selling a foreign currency and terrible news for those with the need to buy foreign currency.

The Pound has not taken as much of a hit as one would have expected even following this news so I don’t think it is all doom and gloom and many other economies globally are indeed in deeper waters than the U.K but it will hold back the Pound ever so
slightly in the near term.

If you have an upcoming transaction to carry out feel free to contact me directly and I will be happy to help you get the best rate and a fantastic level of service. [email protected]

Sterling dips – Is this a good time to buy pounds?

The pound set to make it a hattrick of daily gains versus the dominant dollar

Sterling has dropped against many currencies following improvements in risk appetite. Partly evidenced lately in the lack of any EM sell-off, rates on the more risky currencies have fallen back into line and I think this is a good time to be purchasing sterling since their is a strong likelihood the pound will strengthen again against these currencies.

Tomorrow we have UK Services data which is expected to show a small improvement in the rate of growth in the Services sector. However with most UK data lately not being quite up to scratch there is a potential for a slight correction and sterling dip.

The fundamental reasons for GBP strength should see this through and this is why if you have a foreign currency to sell for the pound I suggest moving sooner.

For more information on the market or your options please contact me Jonathan on [email protected] call 01494 787 478

Important day for all markets today – bank of England interest rate decision and European Central Bank interest rate decision to be of interest for all currencies including GBP EUR USD AUD NZD CAD CHF ILS PLN and all majors as attitude to risk may change

Pound to Dollar Rate Slides to 1.38

An important day on the markets today for all those with currency requirements in the near future as we have both the Bank of England and European Central Bank interest rate decisions due at 12:00opm and 12:45pm respectively.

No change in interest rates is expected although there is a minor chance of a surprise cut the important factors however is that we could see key announcements of comments shortly following the decisions.

The Bank of England seem to be very good at weakening the Pound and any mention of further QE (Quantitative Easing) may lead to Sterling weakness or indeed any other spanners thrown into the works for the U.K economy.

Shortly after the European Central Bank interest rate decision we have the ECB press conference which should be key for those with interest in all major currencies. The reason that the Euro has gained back a lilttle strength, currencies such as the AUD, NZD and ZAR have also strengthened and the USD weakned against the Pound over the start of the week is the fact the head of the ECB (w3ho will be heading up the press conference)  made extremely positive comments about the Euro and how he plans to do everything he can to save the Euro going forward. These comments sent bond yields tumbling away from the worrying 7% level for Spain and Italy and meant that investors had a better attitude to risk suddenly, meaning they get involved in riskier investments and pull funds out of the ‘safer haven’ currencies such as the U.S Dollar.

I expect that Mario Draghi will not have changed his stance over the past few days and we could see another Euro positive press conference this afternoon, leading to potential strength for the Pound against the Dollar and weakness against a basket of other majors inclusive of EUR, AUD, NZD and ZAR. Of course anything can happen in these decisions and conferences and there is a lot going on behind closed doors at the moment but if you have  a transaction to carry out it is key you have a proactive currency broker on your side.

Should you have a bank to bank currency transaction to carry out either imminently or in the future then I can personally help you. I deal with private and corporate clients and offer not only award winning rates of exchange  but an award winning level of customer service to match. Email me today [email protected] if you would like assistance and I shall be more than happy to call you back, If you just want updates for now then feel free to join our mailing list by filling in the form at the top right hand side of this page.

 

Will Sterling lose its recent gains or continue to climb? (Joseph Wright)

Pound to Dollar Forecast: GBPUSD Continues Upward Trend but for How Long?

After performing well against the major currencies for the past week or so, the Pound has dropped sharply this morning wiping away much of the currencies recent gains.

After trading close to 1.17 against the Euro for the first time in months, the GBP/EUR pair have tested the late 1.14’s within the past 20 minutes and cable (GBPUSD) has also lost a cent this morning.

Sterling has recently gained a lot of value after Donald Trump’s successful presidential campaign in the US. The property tycoon has commercial ties within the UK, was pro-brexit and his mother was Scottish. His success in the presidential election has so far boded very well for the Pound as the currency recently has one of it’s best week’s against the US Dollar since October 2009, and the High Courts decision to rule in favour on whether parliament must be consulted before invoking Article 50 has also boosted the Pounds value.

The UK Prime Minister, Theresa May has appealed the High Court’s ruling and I think whether or not she’s successful will have a large bearing on how the Pound performs, as the Pound is likely to fall once again if Theresa May is successful just like it did when she initially outlined her plans of invoking Article 50 at the beginning of next year.

There’s a chance that the Pound could drop back to levels seen prior to the High Court Ruling and Trumps victory, and if so then now is the time to take advantage of what’s left of the Pounds recent gains.

If you want to be kept up to date on the markets and you would also like to ensure that you are getting the very top levels of exchange for an imminent currency transfer or even a longer term one then I can help you with this.

Not only do we give clients up to date market information but we all work for one of the largest and longest serving currency brokerages in the U.K, so even if you have dealt with your current broker or bank for a long time I would be surprised if I could not show you a saving over what they are offering you – You can email me (Joseph Wright) directly on [email protected]  and I will be more than happy to contact you personally to discuss the various options we have available to you.

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