This report will examine the factors that could affect exchange rates in the coming weeks to help you stay informed if you need to make a currency transfer. The table below shows the difference you would have received when buying £200,000 at the high compared to the low for the past week.

Currency Pair% ChangeDifference on £200,000
GBPUSD3.01%$7860
Jerome Powell Testimony

Jerome Powell Testimony

The President's nomination for the next Chair of the Federal Reserve Jerome Powell earlier in the week faced questioning from the Senate over his potential plans if instated. Powell suggested that he would continue largely with the Federal reserve's current path and defended the Fed’s stance that there wasn’t a need for further financial regulation, which is also common with Trump’s thinking. Powell is expected to continue with the Fed’s gradual interest rate hikes as the economy improves, he didn’t however confirm the Federal reserve will definitely raise interest rates in December.

The Chairman elect has been a Fed Governor for nearly 6 years and has already been clear that he will resist any pressure from Trump, who has chosen to remove existing Chairlady Janet Yellen following her 4-year term.

Powell will take charge from February 2018 and will be inheriting a US economy that appears to be going from strength to strength. Today US growth forecasts have been revised up by the Organisation for Economic Co-operation and Development, taking 2018 forecasted growth from 2.1% to 2.5%, most of this has been attributed to the expected tax reforms.

The US Dollar despite positive data has lost ground against Sterling following the Brexit developments. It will be interesting to see how future US interest rate hikes will affect the Greenback but for now if you’re looking to purchase US Dollars with Sterling in the last month on a £200,000 transfer you’ve gained over $8000.

Trump Twitter Row Again

Donald Trump managed to force a response from Theresa May as he retweeted three videos from Britain Firsts Deputy Leader Jayda Fransen. The videos are alleged to show migrants attacking a man on crutches, however the sources haven’t been verified.

Theresa May’s spokeswoman said “it was wrong for the President to have done this”, however they did maintain that the President still had an open invitation to come and make a state visit to the UK.

In a further twist to the tweet Trump over night fired back at Mrs May saying she should focus on the UK’s terrorism and that “we are doing just fine”.

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 brf@currencies.co.uk.

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Exchange rates on this page are interbank rates and indicate where the market is trading to show the performance of a currency pair. They are not indicative of the rates which we offer. The information on this web site is provided free of charge for information purposes only. It does not constitute advice to any person on any matter. Foreign Currency Direct plc. ("FCD") makes every reasonable effort to ensure that this information is accurate and complete but assumes no responsibility for and gives no warranty with regard to the same.