After a strong start, sterling has lost some momentum midweek – a pattern we have seen often over the last few weeks. Some concerns over rising global Covid cases have weighed on the pound. Nonetheless, it is still trading 0.5% above this time last week and over 1% higher against the euro than this time last year.
The pound remains strong against the dollar, despite its slight retreat from the $1.40 mark.
There appears to be light at the end of the tunnel for job hunters after the number of vacancies rose by 16% in March and unemployment fell to 4.9%. As lockdown restrictions ease, businesses seem to be taking a cautious but optimistic approach.
Inflation rates have risen to 0.7%, which is still lower than pre-pandemic levels but higher than last summer.
I saw a reader survey from France Property Guides yesterday that found out there is huge pent up demand to buy there before the end of 2021. How exciting!
Considering the pound has strengthened since this time last year, now seems a good time to put in an offer, even “sight unseen” but subject to confirmation when you can travel abroad. However, it is impossible to say how sterling will fare over the next few months. When it comes to buying an overseas property, even a slight currency change could add thousands of pounds to the price, potentially putting it outside of your budget.
You can lock in today’s rate with a forward contract and then rest assured that your budget won’t be affected if sterling were to weaken. Just give your trader a call on 020 8003 4915.
