Getting the best exchange rate can be achieved by understanding what is driving rates and the service of a specialist currency broker. Below are movements in just a month affecting Pound Sterling US Dollar rates when buying £200,000:
|Currency Pair||% Change||Difference on £200,000|
Economics aside (for now) the US made headlines in the UK yesterday following President Donald Trump’s decision to retweet a video from far-right British group, Britain First. Prime Minister Theresa May has said that President Trump was wrong to re-tweet the video, but insisted that the UK’s and the US’s ‘special relationship’ would continue for now. The concern is that managing a relationship with America and President Trump seems to be a difficult task, one that many political analysts are saying is above Theresa May. This could spell trouble for the UK and trade deals with the US if this relationship breaks down.
The Dow Jones passed 24,000 for the first time ever yesterday as the Senate comes closer to passing Donald Trump’s tax reform plan.
The reforms would ultimately see corporate tax rate cut from 35% to 20% and individual tax levels would be reformed to benefit the wealthiest Americans.
At present, the Republicans seem to be divided over the tax reforms, with their main concern being the effect this would have the on the lower and middle classes and the worrying signs that this could rip apart the US Government's budget deficit.
From the perspective of the dollar, passing the reforms could potentially strengthen the dollar as they are deemed as pro-business. The big question is will the reforms benefit the ordinary American and will the senate realize this before they vote on whether to pass them. If they aren’t passed, I wouldn’t be surprised to see major dollar weakness as a state of shutdown in congress would most likely occur.
Thank you for reading today’s market report, I would greatly appreciate any feedback you have and would take pleasure in replying personally. I am more than happy to assist you with any of your currency requirements. Feel free to e-mail me at firstname.lastname@example.org.