The pound is finishing 2018 in typical fashion, weaker on the uncertainties of Brexit. Christmas Eve has no UK data set for release so the market should be fairly flat, confined to consolidating the news of the last few weeks.

Currency Pair% Change in 1 monthDifference on £200,000
GBPEUR3.10%€6,730
GBPUSD2.89%$7,101
GBPAUD4.47% $14,852

Increased chances of a no-deal Brexit are weighing on the pound which will continue to remain sensitive to market news.

 

Can Sterling and Mrs May find their feet?

There is a chance of some unexpected speeches or comments by politicians over the next 72 hours but with traders in the big banks having logged off for Christmas, the chance of anything major is slim.

The market will now eagerly await news on what Brexit means, set for 2019 when parliament get to vote on Mrs May’s Brexit plans. There is no significant data for the UK between now and New Year, save for some Manufacturing data on the 28th December.

With thinner trading volumes the market might be more susceptible to volatility as market movements are exaggerated by the lack of liquidity. 2019 is likely to continue to be a volatile time for the pound and clients with a position buying or selling might wish to use the coming days to formulate a plan.

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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.