Posted by Allison on 16 November 2009, 11:36
Now here is a currency pairing that we never seem to look at. The Icelandic krona is not a key player in the world of currency. But it is still worth considering now and again, particularly with regard to how it performs against some major currencies.
So let us take a look at what went on when the pound went against it during October, shall we?
Well the British pound finished the first day of October with a rate of 199.008 against the Icelandic currency. And although it dipped down to 197.067 on the 6th of the month, it soon managed to break through the 200.00 barrier and claim an exchange rate of 200.511 on the 8th. The question was whether it could hang onto that kind of level for the rest of the month.
The answer soon came when the pound finished that week on 200.317 and then dipped down to 197.650 the very next trading day. Things got worse still the next day when the pound fell lower to 196.376, but it soon picked itself up and actually managed to storm back and finish the week on an impressive 202.469.
So this had been an entertaining and lively start to the fresh new month. But would it continue in the same vein or would there be more to come?
The next week started with first blood going to the Icelandic krona, and the exchange rate fell back to 201.780. But if we reveal that the rate would never go back down below the 200.00 mark during October for the British pound, you can see that it already had the upper hand here. There was no chance of actually managing to drop below the rate it had started with.
It got pretty close though as that week drew to a close, with the British pound falling close to that barrier. As it turned out it finished on 200.167, just above it, so it would be keen to start the next week beginning the 26th October with a healthy start.
It started not with a bang but with a whimper, as the pound crept up to an unremarkable 200.242. But there was better to come the next day when the figure went up to 202.812, and from then on there was no stopping it. The final figure that closed out the week as a whole – not to mention the month – was an impressive 206.865.
This was perhaps unexpected and it would certainly have been at the start of the month. Back then we had achieved an exchange rate of 199.008 by the end of the first day, so overall we had added on nearly eight krona against the Icelandic currency. This was clearly a good month and one to remember for us.
It seems unlikely that we could have a similar result next month too though, so it will be interesting to see where things progress to from here.