29/07/2021 – This Morning’s Exchange Rates

  • Posted by currencies in Rate Alerts
  • July 29, 2021
  • No Comments

The British Pound has continued its recovery this week with a continuation of daily drops in Covid cases against the figures released 7 days earlier. Earlier this week, The UK saw a 38% drop for week on week cases, bringing some optimism that the third wave ending may well be in sight. With cases having worryingly surged throughout June and July, economically The UK saw the effects with consumer spending down and business confidence down due to a higher amount of people isolating at home in what was dubbed ‘The Pingdemic’. Should this improvement in cases and deaths improve over a longer term period then The Pound will find itself better supported as The Bank of England will be looking at the possibilities of a better performing economy moving forward.

Up next for The UK is in fact July’s rate decision next Thursday. Over the past few meetings, there has been a reluctance to commit to a rate change either way with some cautiousness around the economic recovery. With cases surging over the past 4 weeks The Bank of England have brought to light how UK banks are now prepared for negative rates. However, it is expected that cases as they have over the past 7 days will start to decrease as more and more people get vaccinated for the first and/or second time which should allow for a more positive outlook for economic recovery. Any potential winter lockdown and immediate consequences of this would almost certainly rule out a rate hike in 2022.

Wednesday evenings Fed meeting has only further dampened The US Dollar against the major currencies as Fed Reserve Chairman Jerome Powell insisted that Interest Rates are not imminent. These comments came after the Fed meeting where Powell was aggressive with his view that the job market still had some ground to cover before attentions can turn to Monetary Policy. Economically, as with every Thursday brings the release of US jobless and continuing claims which will no doubt provide The Fed with a better picture of the jobs market. More importantly this is followed by the data on Friday showing the change in wages and consumer spending. Any improvement in the data releases will provide The USD some much needed respite.

GBP/EUR 1.1734 GBP/USD 1.3948 GBP/AED 5.1163
GBP/AUD 1.8846 GBP/CHF 1.2666 GBP/CAD 1.7390
GBP/NZD 1.9948 EUR/USD 1.1865 GBP/ZAR 20.346

Leave a Reply

Your email address will not be published.

What's Going On?

Currencies 4 You Ltd is a company registered in England and Wales (registered no. 06866898). Registered office: Regus House Victory Way Admirals Park, Crossway, Dartford, Kent, DA2 6QD. Currencies 4 You Ltd Payment and for clients based in the United Kingdom and rest of the world, payment services for Currencies4you are provided by The Currency Cloud Limited. Registered in England and Wales No. 06323311. Registered Office: Stewardship Building 1st Floor, 12 Steward Street London E1 6FQ. The Currency Cloud Limited is authorised by the Financial Conduct Authority under the Electronic Money Regulations 2011 for the issuing of electronic money (FRN: 900199).For clients based in the European Economic Area, payment services for Currencies4you are provided by CurrencyCloud B.V.. Registered in the Netherlands No. 72186178. Registered Office: Nieuwezijds Voorburgwal 296 - 298, Mindspace Nieuwezijds Office 001 Amsterdam. CurrencyCloud B.V. is authorised by the DNB under the Wet op het financieel toezicht to carry out the business of an electronic-money institution (Relation Number: R142701). For clients based in the United States, payment services for Currencies4you are provided by The Currency Cloud Inc. which operates in partnership with Community Federal Savings Bank (CFSB) to facilitate payments in all 50 states in the US. CFSB is registered with the Federal Deposit Insurance Corporation (FDIC Certificate# 57129). The Currency Cloud Inc is registered with FinCEN and authorised in 39 states to transmit money (MSB Registration Number: 31000206794359). Registered Office: 104 5th Avenue, 20th Floor, New York, NY 10011. Payment Services are provided by Equals Connect Limited, registered in England and Wales (registered no. 07131446). Registered Office: Vintners’ Place, 68 Upper Thames St, London, EC4V 3BJ. Equals Connect Limited are authorised by the Financial Conduct Authority to provide payment services (FRN: 671508). Payment services for Currencies 4 You Ltd are provided by Sciopay Ltd. Sciopay Ltd is a company incorporated in England & Wales. Registration No: 12352935. Sciopay Ltd is licensed and regulated by HMRC as a Money Service Business (MSB). Licence No: XCML00000151326. Sciopay Ltd is authorised by the Financial Conduct Authority as an Authorised Payment Institution. Firm Reference Number: 927951. Currencies 4 you's payment and foreign currency exchange services are provided by Global Currency Exchange Network Ltd T/A GC Partners. Global Currency Exchange Network Ltd is authorised by the FCA under the Payment Services Regulations, 2017 (FRN: 504346). Registered as a Money Services Business, regulated by HM Revenue & Customs ("HMRC") under the Money Laundering Regulations 2017. (Registration number is 12137189). Registered in England and Wales. Company number 04675786. Registered Office 3rd Floor 100 New Bond Street, London, England, W1S 1SP. | Terms and Conditions | Privacy Statement | Careers