Not a Bad Week for the Pound
Posted by Allison on 22 March 2016, 11:58
Without further delay, let’s dive into the currency markets to see just how well – or badly – it did this week.
An overview of the currency markets for March 7th– March 11th 2016
The pound began on 1.4157 against the US dollar this week, before dropping slightly to 1.4144 on day one. Still, there was plenty of time to catch up and regain that lost ground, and indeed the pound did just that over the next two days. By Wednesday evening, the pound was sitting at 1.4225 against the dollar. Unfortunately, the following day wasn’t as good, taking the pound back to 1.4149. Encouragingly, though, it managed to edge back up to 1.4292 by Friday evening, which meant it had done well over the course of the whole week.
Over in Europe, the pound began trading on 1.2906 against the euro. It pushed ahead to 1.2913 on Monday, before dropping back to 1.2885 the next day. Fortunately, the next two days were rather more encouraging, taking the pound to 1.3033 by Thursday evening. However, as we know, anything can happen in a day, and on Friday the pound lost out, sliding back to 1.2887 as a result.
The pound started off on 10.994 against the Hong Kong dollar, before dropping to 10.986 on day one. But again, the next two days were better. By Wednesday evening, the pound had improved to 11.047. Things changed remarkably in a day though, as the pound fell back to 10.986 by Thursday evening. This took it back to a lower rate than it had started with. It was fortunate, then, to realise the pound finished the week on 11.092 against the Hong Kong currency.
Over in New Zealand, things were set to get off to a good start. The pound started on 2.0937 here, before rising over the course of the next two days. It finished Tuesday evening on 2.1005, and even though the currency dropped back a little on Wednesday, it turned out to be a temporary thing. By the time the pound reached Friday evening, the Kiwi dollar hadn’t been able to stop it from reaching 2.1364.
Finally, let’s see if the pound could do just as well against the Australian dollar as it had against its Kiwi counterpart. You’d expect something just as good here, but as it turned out, nothing could be further from the truth. The pound was worth 1.9177 at the start of the week, but the first four days were anything but good. Indeed, by Thursday evening the pound had steadily dropped to reach 1.8926. It did bounce back a little by Friday night, stalling on 1.9029, but it had lost ground throughout the week as a whole.
Notable events in the world of currency
A slight drop against the Canadian dollar
Bad news here as the pound slipped from 1.8993 to 1.8941 this week.
Better news as the pound performs well against the Swiss franc
The pound managed a more encouraging performance here, as it climbed from 1.4065 to 1.4109 this week.
Another drop against the Icelandic krona
It wasn’t good news everywhere though, as we saw with the exchange rate against the Icelandic krona. Here the pound dropped from 182.683 to 181.237 over the course of the week.
So we can see that the pound did achieve some good results last week, although it was by no means across the board as we may have hoped. However, it was a long way from a disastrous week as we saw a couple of weeks back, when the news of a possible Brexit was front and centre in people’s minds.
Of course, anything can happen at any time, which is why we shall be back with more fresh results for you next week. Who knows whether those results will be good or bad – or indifferent? Let’s find out and explore the possibilities together. Make sure you are here to learn more when we have the news.