UK Economy Improves – GBP Exchange Rates
This week has started with some very positive news as the British Chambers of Commerce (BCC) has confirmed that they expect the UK economy to grow at 2.8% this year and beat the high levels we were witnessing back in 2008 before the financial crisis kicked in. This should be very positive news for GBP exchange rates and re-enforces my view that Sterling will have a strong year as the UK economy continues to improve, and if we are back at pre recesion levels then many will argue will Sterling head back to its pre recesion levels against the Euro and other major currencies. Before the financial crisis GBP EUR was up over 1.40 which seems like a life time away now! However, despite the improvement in the UK economy I would be surprised to see the rates get back to those levels as Sterling Euro has seemingly found its trading parameters close to the 1.20 level. Having said that I could still see Sterling push up towards the 1.25 marker towards the end of the year.
As always though the currency market has not followed the theory and despite the very positive news this morning we have seen Sterling fall against a number of major currencies with GBP EUR falling below the 1.20 level and GBP USD falling close to a cent meaning there are some great opportunities for selling currency and buying Sterling. So, if you need to transfer funds internationally make sure you speak with us today so we can discuss all the options available to you. You can call straight through to our trading floor for free on 0800 328 5884 or if calling from abroad call us on 0044 1494 725353 alternatively you can email me directly on email@example.com