US ($) Currency Thread 2

neilbond007

pollypenny wrote: »

Hi, Neil!

How are you and the girls doing? It would be a great time to come over. DS was just here, with the job, so only catching up with friends for a weekend and us, mum & dad, in between.

We're off to the USA in two weeks. We'll have to count the pennies!

Howdy!

Kids doing very well. In fact number 3 is on the way, due in December.

We're planning a visit next year, August time. Have still got a UK bank account so the exchange rate isn't really a worry.

Cheers

Neil

jackieblack

neilbond007 wrote: »

Kids doing very well. In fact number 3 is on the way, due in December.

Congratulations! :beer:

pollypenny

neilbond007 wrote: »

Howdy!

Kids doing very well. In fact number 3 is on the way, due in December.

We're planning a visit next year, August time. Have still got a UK bank account so the exchange rate isn't really a worry.

Cheers

Neil

Congratulations :T:T

You won't have to worry about the exchange rate, as you'll be 'quids in', literally.

DS was over for work in June, before Brexit.

N9eav

If interest rates are cut by .25% today, how much might the pound weaken against the $$

PeacefulWaters

N9eav wrote: »

If interest rates are cut by .25% today, how much might the pound weaken against the $$

Virtually nothing as the markets have already priced it in.

sabretoothtigger

If rumour is incorrect then things happen. There is a danger with rates too close to zero I think with no profitable margin left.
Japan with negative rates is having sections of its finance market wiped out apparently.

Jamie McGeever ‏@ReutersJamie 1h1 hour ago
Sterling could be poised for a sharp bounce if BoE disappoints today. Speculators holding record short positions:

Its all guessing, this guy points out the market may be standing on one side of the boat a little too much

Bank of England to cut interest rates by 40 bps to just 0.1% tomorrow, and unveil a new QE programme in November, predicts Morgan Stanley.

edit:
They cut 0.25% which took a cent off the dollar rate. fairly decent move

N9eav

I see Thomas Cook Monday chopped 2c off the exchange rate at midday. Recovered a bit last night, but 1.29 in pretty poor spending money.

eDicky

N9eav wrote: »

I see Thomas Cook Monday chopped 2c off the exchange rate at midday. Recovered a bit last night, but 1.29 in pretty poor spending money.

That was the time of the rate cut announcement and the rate instantly dropped 2c. No need to buy from Thomas Cook at their rate when the mid rate is available by other means (1.312 at 08:30).

TeeNineBoa

Hi all, newbie here.

My question is not specific to US$ - more related to post-Brexit sterling really (I don't want to cause a debate on that issue, regardless of my views on the matter - my question is more pragmatic).

I am travelling with my wife to Australia this December and since the referendum we have seen the effective value of our savings fall by almost 1000AUD.

It seems like the £ is likely to continue on it's downward trajectory; I'm interested to know if there are any reliable forecasts regarding currency values - should we buy now to save from further losses? should we wait and see?

Or, are we in the midst of something so novel and unknown that it is impossible to guess, and we should spread our bets by buying at least some now, and watching the exchange carefully?!

Many thanks,

N9eav

Its almost impossible to say. Most of the fall has been political. The economy itself did not change after Brexit, but the negative projections of what might happen if we left kicked in. Lowering interest rates affects currency and for some strange reason the B o E seems intent on lowering it again, so that will cause the £ to fall. Once we sign article 50 in the new year, it could fall again. Only a sharp up turn in economic growth forecasts will help turn it the other way...... That's my thinking