Assessing the Balance Between the UK Pound and the Canadian Dollar

Posted by Allison on 17 March 2012, 14:36

It isn’t every day that we look at where the British pound stands against the Canadian dollar. Mostly this is because the Canadian dollar isn’t always that much different to the US dollar. But every now and then it is good to check out the situation, and that is what we are going to do this month.

At the end of January the pound was worth 1.5727 Canadian dollars, so were we going to see an improvement on that or would things go the other way? We certainly got a good beginning to the month on the currency converter, as the pound pushed ahead to 1.5833 on day one. This was a grand start as it meant we had added on a cent overnight.

Of course things rarely stay this good on the currency markets for the pound, and so we were waiting for things to swing back the other way. However it didn’t quite go as we expected as the first week ended with the pound doing slightly better on 1.5848. It was only at the beginning of the next week that we ended up seeing a worse situation – but even then only slightly down on 1.5721. It was hardly a disaster.

We were then treated to an up and down week where we were unsure which currency would end up with the final push. But the pound did well again and finished on 1.5813. However things change quickly on the currency markets and if we were beginning to think things would go our way against the Canadian dollar we were swiftly reminded that things could end up rather differently. This time we ended up with a rate of 1.5753 to close out the following week, giving us something to think about for sure.

The next danger point came on the 22nd February as the pound dipped back further to 1.5647. Was this the point where the Canadian dollar was taking control and leaving us to think that the pound had seen the best rates of the month already?

We may have been forgiven for thinking that, but as it turned out the pound had one last trick to pull, finishing the month on 1.5738.

 

Comment