The pound has been moving in the past few days because of speculation about an interest rate cut. This is all feels rather old-school, a bit 2015, as politics and Brexit has been leading GBP in recent times.
The next big thing to influence currencies will be a mix of politics and economics though – the Budget. The Chancellor Sajid Javid has announced that it will be on 11 March, and the general opinion is that by loosening up the Treasury’s purse strings with very significant investment spending, the pound will be boosted.
I would urge anyone thinking of waiting to change their money until then, however, to think again. Firstly, it’s an awful long time to wait if you have big plans for your future. Secondly, history tells us, the market will have moved long before in response to a drip feed of policy hints in the weeks leading up to it. Like other significant events such as, for example, triggering Article 50 all those aeons ago, the pound can move in an entirely unexpected direction. Or, to quote a more recent example from the night of 12-13 December 2019, the pound can shoot up and then down again before you have the chance to do very much.
But don’t take my word for it. Tomorrow we launch our brand new quarterly forecast, seeing where leading financial institutions believe the pound will go. We will be sending you an email allowing you to download it very easily. If you don’t receive it tomorrow, just come back to our homepage where you’ll be directed to it.
Just don’t take it as gospel. Until we can predict the future accurately they will always just be educated guesses.
As we always say, the best idea is to plan for your own future and then speak to us, on 020 8108 5337, about fixing a currency strategy that enables you to do that.
