Challenges Left Right and Centre for the British Pound
Posted by Allison on 11 August 2014, 12:36
Welcome back for our latest report on the standing of the British pound in the currency markets. Let’s get straight on with the latest results.
An overview of the currency markets for August 4th – August 8th 2014
Here we are then with another set of results to begin with. The pound started the week at 1.6825 against the US dollar and it did well on day one, rising to 1.6836 throughout the day. There was another rise to 1.6856 the next day too, before it dipped back to 1.6831 on Wednesday. While Thursday produced another rise it wasn’t enough to give us a good result to end on. This meant the British pound ended up lower than it had been at the start of the week, as it slowed down to 1.6804 on Friday night.
There were some ups and downs against the Euro too as the pound began on 1.2561 before dropping to 1.2543 on Monday night. We then saw two better days as the pound gradually rose to 1.2612 by Wednesday evening. Where would the remaining two days take us? The answer was unfortunately downhill. By the time Friday night rolled around the pound was sitting on 1.2551, slightly lower than it had started the week on.
Over in Hong Kong there were some changes during the week as well. For example we began on a rate of 13.039 before rising throughout the first two days to close Tuesday evening on 13.063. This then dropped back to 13.043 the next day, erasing most of the good work we’d done up until that point. While the following day was a little more encouraging the final day wasn’t. This meant the British pound ended the week on 13.025 against the Hong Kong dollar. Again this was lower than the opening rate had been.
Let’s move over to New Zealand now to see whether the pound could do better against the Kiwi dollar. The opening rate here was 1.9848 but things soon turned against us as we dropped to 1.9782 on day one. We did recover in style over the next two days though as the pound reached a high of 1.9921 on Wednesday. Unfortunately we couldn’t hold onto that rate for the rest of the week. We ended up closing things out on 1.9820 on Friday night, which again was lower than we’d begun with on Monday. This wasn’t the best of weeks we’d seen.
Finally we have the head-to-head against the Australian dollar to look at. The opening rate here was 1.8127 but this dropped back to 1.8073 on Monday. We recovered slightly to 1.8094 on Tuesday but it was soon clear this would be an up-and-down affair. Indeed that’s the way it went day by day, and by Friday the pound closed down on 1.8098.
Notable events in the world of currency
Another drop seen against the Canadian dollar
Here too the pound didn’t do well. It fell from an opening rate of 1.8383 on Monday morning to 1.8343 on Friday night.
The same pattern was repeated against the Swiss franc
It was clear this wasn’t to be a good week for the pound. The currency started on 1.5278 against the Swiss franc and ended on 1.5234 on Friday night.
Better news against the Icelandic krona though
Here at least we saw a good exchange rate to finish on. We started on 193.770 and ended the week on 193.968.
There was a mixed bag of results this week then, although many of them went the way of other currencies instead of in the pound’s favour. If we could hope for anything different next week it would be to regain some of the losses we saw this time around.
We shall have to see whether this is too much to hope for or not, and we have a few days to wait until we know the answers. We’ll be here with them then, whether they are good or bad. Make sure you don’t miss them.