Happy New Year to all our reader from currencies.co.uk, we hope you enjoyed the festivities over the Christmas break and are looking forward to a happy, healthy and prosperous 2013!
Well, 2013 has started with a positive, the US has managed to avoid financial armageddon as a deal was reached to avoid the much talked about fiscal cliff. Yesterday was when spending cuts and increased taxes were due to hit however the House of Representatives passed a senate backed bill which will delay the spending cuts and only raise taxes for the wealthy. This bill is supposed to be a ‘stop gap’ while a more detailed bill is developed in order to help the US economy. The markets have reacted positively and it is likely to bring some confidence to investor and economists across the globe. However, the US deficit is still very high and the fact that Obama cannot be re-elected after the end of this 4 year term is already showing as he stated that he wanted to get his country out of their financial issues by focussing on doing what is right for the country and not focussing on politics. Comments like this do bring hope that this year could be positive for the US and as a result would be positive for the global economy.
With the US such an important part of the global economy any positive news from across the Pond could lead to positive movement for many of the major currencies including Sterling exchange rates. With the Pound remaining relatively flat last year (compared to the previous 4 years or so) many people are hoping to see exchange rates improve, especially those who are looking to send money abroad whether it is to buy an overseas property, business transactions or to make regular overseas payments. While it is true some positive news in America could help Sterling there are still a lot of big issues we as a country need to deal with, spiralling debt levels, high unemployment and lack of growth being just three. So, this year it will be interesting to see whether David Cameron et al will also focus on making the right decision for the country rather than focussing on their political futures…
If you need to transfer money abroad and are looking for exceptional exchange rates make sure you speak to one of our experienced currency brokers here at Foreign Currency Direct plc. We will be happy to discuss your currency requirements and all the options available to you including a forward contract where, for a small deposit, you can fix an exchange rate for a period of time in the future. You can call straight through to the dealing floor on freephone 0800 328 5884 or if calling from abroad you can call us on 0044 1494 725353 or email me directly on email@example.com.