With the currency markets moving every two seconds, it can be vitally important to be aware of what is driving the currencies in or out of your favour. The below table shows the difference in USD you would have achieved when buying £200,000 at the high and low points of the past week.
|Currency Pair||% Change||Difference on £200,000|
Friday’s non farm payroll data was a welcome one for investors, with 209,000 non-agricultural jobs created versus the 180,000 which was expected. Donald Trump and his team of republicans had been under fire recently, following reports that the US economy had started to lose momentum.
This week’s data releases for the Dollar are on Thursday and Friday in the US, in the form of inflation data. Following a strong jobs report at the end of last week, more emphasis will be on these readings to see whether inflation in the US is keeping in line with wage growth which was fairly average in the last report.
Last month’s CPI reading was below par from the US and will be keenly watched to see if improvements have been made. Investors will be keenly watching this release at the end of the week to look for clues as to whether the US Federal reserve will raise interest rates later on this year. This means that the value of the GBP/USD will largely be influenced by political news from the US.
It has emerged that the latest sanctions on North Korea haven’t been received well with reports emerging that the US will pay a price. Whilst the strong economic data from the US keeps the dollar strong, any news of war or conflict could start to cause real weakness for the USD. Investors may choose to move their funds away from the US if tensions really start to heat up, which would be dollar negative. The Trump administration will also be in focus following recent allegations surrounding Russia which could also implicate the Dollars value moving forward.
For more information on how future data releases could affect your currency requirement, call our trading floor on 01494 725 353 or email me here.
First class foreign currency provider, great rates and outstanding customer service.
Great service very professional but with a personal touch. Everything went smoothly with no fuss. Would highly recommend.
It was really refreshing to go through a process that had absolutely no hiccups at all, the service that we were offered exceeded our expectations. We would unreservedly recommend the company to anyone seeking to exchange currency.
Very efficient service. I’ve never used a service like this before & was purchasing a house in France. It was all explained very well & I was kept informed all along the process. Putting a deposit down to pre-book the rate also saved us a fortune.