It has been a relatively quite day for the GBP/USD cross with exchange rates staying within a 40 pip range. Rates have fallen slightly since last Thursdays high of $1.6820 but with the currency pair trading between $1.6700 and $1.6740 it is still an extremely good time to purchase U.S. dollars.
For a free currency consultation click here.
There was little to influence sterling/dollar in terms of economic data releases today with only house price figures from the UK and retail sale figures from the States the only numbers of note. Both readings came in slightly higher than forecast but ended up cancelling each other out. So what could swing rates this week?
Wednesday – UK unemployment figures are the main release today,
forecast to come in around the 7.1% mark. A lower figure could cause Sterling to
rise.
In the US we will see the latest industrial production figures and Fed chair Janet Yellen gives another
speech.
Thursday – It’s a quiet end to the week with US jobless claims the only release of note. There is nothing from the UK.
Friday – markets are closed for Easter Friday which means there
are no major market releases.
As I have already said, it is a great time to buy dollars at the moment with rates just below the highest levels we have seen for nearly five years. Will the rates continue to climb? It is impossible to predict but one of the forecasts I got from my brokers this morning hinted at GBP/USD dropping towards $1.63 in the next few months.
This maybe a little optimistic especially as it looks like a interest rate rise in the U.S. has been put on the back burner. If rates do drop though it can make a massive difference to the amount of dollars you would receive, that is why it is so important to know what tools are available to help make the most from your transfer.
If you need to buy or sell dollars in the coming weeks or months and want to ensure you are protected from any adverse market movements, use the link below and complete the contact form or call me directly on 0044 (0) 1442 892 065 for a free, no-obligation consultation.
