For the best dollar exchange rates click here.
As you can see from the graph below the GBP/USD cross has been climbing steadily since the middle of March, with the currency pair rising over seven per cent, hitting a fresh seven month high of $1.2990 yesterday evening.
GBP/USD graph
The rise we have seen over the past few weeks makes excellent reading for those of you looking at purchasing dollars. If we look at the move in monetary terms, converting £250,000 into U.S. dollars this morning will now achieve you around $21,200 more compared to the same transfer on the 14th March.
But will the GBP/USD exchange rate climb even higher?
As I mentioned last week we are now in an excellent position for the GBP/USD cross to break $1.30. The UK economy is still performing well and with the Conservatives taking victory in last week's local elections, the pound is certainly in a better place than it was two months ago. Attention will now turn to the Bank of England and their meeting on Thursday. After last week's positive Manufacturing, Construction and Services PMI readings, investors will hoping the Monetary Policy Committee (MPC) maintain their hawkish stance.
Last month one member of the MPC voted to increase interest rates in the UK, and if the number increases to two or three members on Thursday, we could easily see the pounds value rise across the board.
However, with the uncertainty over how Brexit will impact the UK economy still lingering, any gains for the pound could well be limited during official negotiations.
Contact me today if you are looking to buy dollars.
If you have an upcoming requirement to buy dollars and want to take advantage of the best exchange rate for seven months, contact me today for a free consultation.
A popular tool for clients with an upcoming transfer is a ‘Forward Contract’. This allows you to secure the current exchange rate for up to 2 years, by lodging 10% of the total you need to convert.
This protects you against the rate moving against you, and also allows you to budget effectively.
We also offer significantly better exchange rates than high street banks offer, meaning you could save thousands on your currency exchange.
