It feels like Groundhog Day again for the pound against the euro, as it continues to cling to its position close to an 18-month high, without quite beating it.
To lock in this rate for the year ahead, call your account manager on 020 8108 5163.
Last week was light on data, and what there was for the markets to be guided by – slightly improving house price data, and Bank of England (BoE) interest rate setters simply restating previously held positions – didn’t have much effect.
However, this is a much more problematic week for anyone “exposed to currency risk”, as we put it, which means anyone who has a transaction coming up which will cost a lot more if their currency weakens.
There are five key pieces of data that will affect a currency more than most. Four of which are: a change of direction from the governor of the central bank – and BoE boss Andrew Bailey will be talking later today – unemployment and earnings (which comes up tomorrow), inflation (which we have on Wednesday) and Gross Domestic Product (GDP, which is on Thursday).
So, the speculators will be waiting, and they, more than common sense, will be governing where the pound goes this week. You can avoid them deciding what your budget in pounds will buy you abroad by fixing your rate with that call to your trader.
One other thing to mention, it’s only a month or so until the Your Overseas Home Virtual Event, which Smart Currency sponsors. It’s a one-stop shop, all online, for anyone buying a property in Spain, France, Italy, Portugal, Greece, Cyprus, or, for the first time in a while, the USA. There will be property buying experts like us, but also estate agents, visa specialists, property lawyers, removal firms, and health insurers and IFAs for those retiring abroad too. You can get your e-ticket here, and it won’t cost you a cent or a penny.
Here is what some of the visitors said about the last Your Overseas Home Virtual Event:
- “Excellent, easy to understand and friendly.”
- “Very informative, and defined a positive path forward.”
- “This event has given me the confidence and motivation to know that even though it is a daunting undertaking. I can do this!”
