Would One Exchange Rate Let Down the Pound This Week?

Posted by Allison on 11 September 2017, 17:52

Welcome to another currency report, where we see whether the pound could carve out a series of great results for once. Would it manage to do that across the board? We’ll soon know the answer to that.

An overview of the currency markets for September 3rd – September 8th, 2017

Our first stop is to look at the British pound’s performance against the US dollar. We opened trading on 1.2945 here, and immediately rose to 1.2960 by Monday evening. We slid slightly the following day, but it was only noticeable several decimal points down the line, with an overall drop of just 0.001%. Back to good news the day after, though, as the pound increased its value to 1.3049 against the US dollar. And from there, we were on a roll of good news to end the week. By Friday night, the pound was sitting on a healthy 1.3213.

The question now was whether we could replicate that result against the euro. Our opening rate was 1.0860, and that increased to 1.0886 on Monday night. But from there, things got better still. Indeed, nothing would get in the way of the British pound improving from one day to the next here, as it steadily increased through the whole week. This meant it ended the week on a great exchange rate of 1.0956 against the pound.

Our next stop is to see if the pound could do just as well against the Hong Kong dollar. Would we see five more good days in force here, as we had against the euro? We won’t keep you in suspense. The opening rate of 10.130 soon began to rise, and five days of this good news followed. That meant Friday night could close on a healthy rate of 10.316 in this part of the world.

So, three encouraging results so far… but would that continue against the New Zealand dollar as well? There was a chance this could happen, but the real picture was somewhat different. We opened on 1.8070 but experienced two drops over the first two days. That meant we were down to 1.8019 on Tuesday night, before two better days took over. By Thursday evening, we had improved to 1.8178. Even though there was a drop to 1.8080 by Friday night, we were still slightly up on the week.

What pattern would the pound follow against the Australian currency though? Well, it opened on 1.6313 but again, we had two bad days to start with, reducing the pound to a rate of 1.6243 by Tuesday night. We then perked up to 1.6363 on Wednesday night, but that turned out to be the only good result we had this week. By Friday, we’d fallen again, meaning we finished on a rate of 1.6304 – the one loss we had all week.

 

Notable events in the world of currency

A drop against the Canadian dollar

Monday saw the British pound start the week on 1.6106 against the Canadian dollar, but this soon fell to 1.59714 by the close of play on Friday.

 

A rise against the Swiss franc

Here, though, things were looking up. The pound began trading on 1.2425 before rising over most of the week to close on 1.2496.

 

Another consistent rise against the Icelandic krona

Here, too, we had some better news this week. The pound started trading on 135.720 before ending Friday’s trading session on 139.640.

 

So, this was a good week all told, with just the odd fall for the British pound. Even the falls that did occur were minor, so there was little to be disappointed about. Maybe next week will be just as good, and see the pound increase in value once again where those other major currencies are concerned.

 

But we can never tell how things will progress from one week to the next, since there are many factors that influence the outcome of this situation. So, we will be here to report on what does happen, so you will know how the British pound is doing on those currency markets.

 

Comment