The announcement of Boris Johnson as the UK’s new Prime Minister provoked a mixed reaction in the pound, but the overall trend over the last twelve hours has been a slight uptick. Further volatility is expected as Johnson begins to appoint his cabinet.
The pound is also helped by the euro’s weakness, as German manufacturing figures hit a worrying seven-year low. Fears that the eurozone’s largest economy is heading for a recession.
The dollar is also choppy, although it did reach a give-week high against a basket of currencies yesterday, thanks to an agreement to lift government borrowing limits. Trade talks with China are expected to resume next week, but the outcome is far from certain.
Boris Johnson now has just 100 days to implement his plans before Brexit. Take advantage of today’s boost and protect your money against the upcoming uncertainty by locking in your exchange rate with a forward contract. Speak to your Personal Trader today on 020 7898 0541.
