This Pound Sterling report will discuss factors that are likely to affect GBP exchange rates this week and in the run up to the EU Referendum.
The Pound has dropped as low as 1.23 against the Euro during the build up to the referendum. The uncertainty surrounding whether the UK will remain in the EU or leave is wreaking havoc on the currency market. The days of 1.42 in December are well and truly behind us.
A recent survey from whatukthinks.org/eu/ that is based on the latest average of six polls shows it neck and neck at 50% each.
I think we are now starting to see a dip in UK figures due to the referendum. With many businesses reluctant to move, not knowing which way the vote will go. If I had to put my neck on the line I think the UK will remain in the EU. I think there are far too many uncertainties with a vote to leave whereas the Remain campaign is largely based on fact. I think this will become more apparent as we draw closer to 23rd June.
At 08.30 this morning we will see the release of Producer Price Index (PPI) data. PPI is a measurement of inflation experienced in UK manufacturing when buying goods and services. Consumer Price Index (CPI) figures are also released at 08.30 and this is a measurement of inflation in the retail sector. Inflation gives a clear indication as to the health of the economy. I expect to see a drop in both data releases so expect Sterling to lose value. Thursday at 08.30 we have Retails sales data and I again I would expect a drop. If you have to move short term it may be wise to move quickly.
Thank you for reading today’s market report for Sterling, 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.
From start to finish with all contacts you feel like a VIP client even if you are exchanging small amount of currency. Always polite cheerful and give you straight talking advice before making the decision. Daniel Johnson and the team are a pleasure to deal with.
Daniel Johnson was very helpful throughout the transaction. It was quick and hassle free. I would definitely use this method again.
Excellent… can’t fault it… Thankyou Daniel.
Daniel Johnson explained clearly and in an easy to understand way what the process would entail before I made the transaction to pay the deposit on an overseas property. The transaction was carried out in an efficient and timely manner and I felt no pressure at any time.