Boris Johnson hitting the headlines on Sunday isn’t expected to muddle the chatter on currency markets next week, with buying Euro and Dollar rates set to benefit from a focus on economics over politics.
There is a host of data sets coming out from both within the UK and outside of it, with the positive or negative nature of the information set to sway the value of the currency attached to that particular economy.
Whilst Boris Johnson’s comments are inflammatory they will not be deemed by markets to alter the current course of the Brexit. This has been the major guage used on how recent political news has affected the value of the Pound.
With big announcements coming recently, the deadline for Article 50 in March 2017, and the very public spat between Theresa May, Merkel and Holland about what a future agreement between the UK and the EU may look like, it seems as if most of the curveballs which could impact the Pound in the short-term politically have come and gone.
With this in mind, we may finally see some of the positive news coming out of the UK economy begin to register on the currency markets.
We’ve already seen some promising hints to show the UK economy is weathering the storm of the Leave vote relatively well.
Despite the news about ‘marmite-gate’ and the pricing pressures forced on the UK with a weak Pound, business confidence in manufacturing, construction and the financial service sectors are recovering and in some cases surpassing what was recorded last year.
Firstly on Monday we have Eurozone inflation data which is expected to come in poorly as it has done quite consistently for a few years now. Conversely on Tuesday the UK has their own inflation data, which is expected to show a healthier reading closer the Bank of England’s 2% yearly target. Combined both of these data releases could see improvements on buying Euro rates in particular.
Furthermore, employment and wage data for the UK on Thursday morning could provide the additional support needed behind Sterling to see some improvement on GBP/EUR, GBP/USD, GBP/AUD.
With this hypersensitive market, opportunities can develop and evapourate quite quickly, and it is important not to be ‘last to the party’ in these situations as the flood of people buying a particular currency will suddenly make its price rise.
I offer a very proactive service to make sure my customers with an upcoming buying or selling Euro or Dollar requirement remain well informed currency purchasers.
I have never had an issue beating the rates of exchange on offer elsewhere, and if you are not a regular reader of this website I recommend noting that you can pre-book your currency for a future currency transfer using a small deposit.
You can contact me over the weekend whilst markets are closed on firstname.lastname@example.org or fill out the form below and I will be in contact as soon as I am able to to discuss the options open to you to safeguard your transfer and try to maximise your currency return.