Sterling has climbed again, to a fresh 2023 high against the euro. Against the US dollar it rose sharply yesterday but has drifted since.
There are so many different forces working on sterling right now that it can be hard to keep up. They include matters as seemingly unrelated to the UK as the US ‘debt-ceiling’ arguments between American politicians, the US jobs market, bond yields, the failure of the Bank of England’s inflation-prediction models and the performance of key European economies.
Your trader will be keeping up to date with all that, so do use their knowledge and experience to plan your overseas transaction.
The only thing they cannot do is predict whether the pound will strengthen or weaken in the future. But the good news is that sterling this morning is at its strongest against the euro than at any time this year. It s almost 3% stronger than the start of 2023, meaning a saving of thousands of pounds on the typical euro-priced property.
There is no guarantee of that lasting, so it would be extremely unwise to base a price you might have to pay for a French property in the height of summer, based on the rate today, unless you lock it in.
You might have to find thousands more in a hurry if you don’t lock in your rate and the pound weakens before completion. If that would be a problem, do call your trader on 020 7898 0541 and lock in today’s 2023 high with a forward contract.
