Posted by Allison on 16 May 2011, 11:39
It’s easy to look at the exchange rate between the British pound and the US dollar more often than not. After all the US has the biggest currency in the world, a reserve currency that is strong and usually quite robust. It may not quite meet up to those expectations at the moment, but it is still worth looking slightly further afield to see whether the pound can do well against another currency. This time we’re looking at the US dollar’s neighbour, the Canadian dollar.
Our opening rate here for the month of April was 1.5599. Just a small nudge and we would be into 1.56 territory. But despite this it would take five days to reach that territory and claim a rate of 1.5668. Once the pound got there it would take a few days to hang onto that territory before finishing the week slightly lower on 1.5597 on the currency converter. Did this mean we were in for more of a struggle than we thought? Where would we end up at the end of the month?
The 11th brought better news as we lifted ourselves back to 1.5631 against the loonie. Better news still came just a few short days later as the British pound managed to keep that momentum going to reach 1.5757. Would this be the beginning of a push for better exchange rates that would last until the end of the month, or would there be another dip before then? This was certainly turning out to be an interesting head to head battle.
However a few days can make a real difference. The 19th saw the pound back down to a rate of 1.5596 so there was no time to celebrate bigger results and plenty of time to wonder whether we had already seen the best ones. Would the month end on a sour note after the good work we had put in so far?
There were certainly a few more bumps in the road to go down, but by the time April was over we had achieved a better rate of 1.5814.