Posted by Allison on 30 March 2015, 16:19
Welcome back to another report, which brings us up to date on the progress of the British pound on the currency markets. Would it turn up some good exchange rates this week or not?
The week got started with good news for the British pound against the US dollar at the very least. The opening rate of 1.4853 had improved to 1.4911 by the time the day was done. The pound fell slightly to 1.4910 by Tuesday evening but then it edged up again to 1.4915 by the following day. Unfortunately we couldn’t save the best until last this week, which meant the closing rate against the US dollar turned out to be 1.4875. This was at least better than we had begun with though.
The pound began on 1.3783 against the euro on Monday, and had far from the best week here. It immediately dropped down to 1.3664 on the first day, before dropping further throughout each of the next three days as well. Indeed the only good result the pound had all week was to edge up slightly on Friday, taking it to a closing rate of 1.3702 for the week. However this was still lower than we’d begun with, so it was far from good news.
Moving on to Hong Kong now, what would the news be like there? The British pound began on an exchange rate of 11.525 and there was good news to begin with. By Monday night it sat on 11.564 instead. However as we already know this was a week of uncertainty and perhaps more bad news than good. So while we saw another good result as the week went on, there was indeed more bad news than good here. The closing rate as the week finished on Friday night was 11.534, which thankfully was slightly better than we’d started with.
Our fourth stop is with the New Zealand dollar, and here the pound began the week on 1.9849 before promptly dropping to 1.9559. The next two days weren’t much better either, and Wednesday night finished disappointingly on 1.9446. Fortunately the remaining two days were more encouraging, sending the pound back up again. It did only finish on 1.9651 though, which was lower than we had started out with.
Finally let’s see whether the pound could get the better of the Australian dollar. Monday morning opened with a rate of 1.9280 but the first two days saw significant drops, taking the pound back to 1.8849. The good news was the next three days helped to repair some of that damage. Some, but not all – the pound finished up with a closing rate of 1.9101 as the week came to an end.
This week was not a promising one for the British pound. It fell from 1.8821 to 1.8607 against the Canadian currency this time around.
Here too there was poor news, as the pound began the week on 1.4544 and ended it on 1.4354.
Wherever you looked the pound seemed to be sliding last week. Here it fell from 205.153 to 202.214.
It is quite clear that last week was not the most encouraging performance we have seen recently from the British pound. We have certainly seen worse though. It is heartening to realise that some of the losses turned out to be fairly minor, rather than being somewhat significant in size. We shall be curious to see whether the pound can recoup these losses next week or whether it will be forced to suffer further losses as the week goes on.
All that is presently for the future though, so we shall be watching closely to see whether the pound can have a good week on the markets, or whether there is worse news in store. Make sure you come back for the answers soon.