This morning the pound has slipped once again against the US dollar while remaining shaky against the euro. While some of that is down to the dollar’s strength, the euro is being held down by the war in Ukraine (and its effects on gas supplies). Long story short, it all remains highly volatile and further drops in sterling cannot be discounted.
The latest news includes an intervention from the IMF saying that the government’s economic policy should be reversed, the chief economist at the Bank of England warning of a “significant” rise in interest rates, Credit Suisse warning of a 10-15% fall in UK house prices and the Labour Party hitting a 17 point lead in the latest opinion poll.
For the pound, it all feels a bit like a submarine movie where the sub keeps sinking and sweaty crew members listen to the hull creaking ominously while the engine room tries to restart the engine.
In such a movie one can imagine the crew happily accepting the boat stabilising in the water for a while at a safe depth, and that’s what a forward contract offers for those worried about the pound sinking further if they are about to buy a property abroad. Do call your trader on 020 8003 4915 to discuss that option.
For those still planning a move abroad, or a holiday home, if you were looking for a sign, the past week could hardly have been clearer.
I look forward to welcoming you to the overseas property show that Smart Currency Exchange sponsors: Your Overseas Home. It’s on Saturday 12 November and features all the professionals to help you buy abroad, plus tens of thousands of properties to browse and talk directly to estate agents in all the overseas buying hotspots. You can register for your free pass here.
Finally, a final reminder that you have only two days for our summer referral bonus ending on 30 Septemer, with a draw for £2,000 worth of flight vouchers available if you can refer a friend. You can start that here.
