The pound has continued to bound ahead overnight, proving that it’s not just traders in a UK/EU time zone that are supporting sterling. Set against the average of the post-referendum world, today’s GBP/EUR rate has rarely been bettered.
Against USD the picture is even prettier, with sterling trading well above the five year average and very close to its highest rate since June 2016.
The temptation might be to wait it out and see if it will go higher. Or it might be better to secure what you need for your own plans and move ahead with those.
Whatever you decide to do, your trader will be at the end of the telephone on 020 8108 5337 to guide you through the process.
You can opt to secure today’s rate via a forward contract, so you can make the trade at your leisure later in the year knowing what you’ll get for your plans.
Certainly that is a very popular option for anyone who needs to agree a price on one day – for example for a house, a yacht, a business commodity or anything else abroad – but actually pay for it later.
Equally, you could make a spot trade today for the full amount. Another option is a regular payments plan with a forward, whereby your regular bills overseas are automated and also set at a fixed rate.
Do talk through your options with your trader, but one thing I do know is that if you’re buying euro or dollars this looks like a good day to do it.
