are we expecting the pound to drop further?

stringer_bell

any ideas? I get paid in dollars. I was earning 53p to every dollar and now it is 82p ( give or take what the bank decides to give)

I also have a few investments in American markets too so they have performed well

is it possible the pound could reach parity with the dollar?

slowpoke_rodriguez

I wouldn't rule it out...

jimjames

stringer_bell wrote: »

is it possible the pound could reach parity with the dollar?

Most of the reports are that current exchange rates are the worst vs dollar that they have been for over 30 years. Have a look at what the rate was 31 years ago and it might give a clue how much worse it could get. In 1985 it was virtually parity between pound and dollar but obviously for different reasons to now.

JohnRo

I'm expecting the pound to weaken further, whether it will fall enough to reach dollar parity I don't know but I'll be adding a chunk of BRNA this next week regardless.

prosaver

I think the remainers hope so...they've done a good job making it fall so far.

bowlhead99

prosaver wrote: »

I think the remainers hope so...they've done a good job making it fall so far.

Not sure what you're smoking but the remainers were the ones that wanted to preserve the status quo and not crash the pound or reduce economic growth, while the exiters were the ones that wanted to give up on the political and economic union causing huge uncertainty about whether or not it is worth investing in the UK in the short to medium term.

Some of the exiters don't want to take responsiblity for that, so they say that any economic disruption is the remainers' fault for not having completed the exit already.


Back to the OP in terms of whether we expect it to drop further; a number of financial institutions have projected that it will, with forecasts of 1.15 or 1.0. Off the top of the head I can't think of any of the main banks or brokers calling parity. Of course, the forecasts are a 'best guess' and the actual result could be either side of what they suggest, and some are only guesstimating a certain number of months ahead. Comparing GBP to USD specifically (rather than a general basket of currencies) the presidential election in a couple of weeks and its aftermath is likely to have some effect, at least in the short term.

The only certainty is that there will be a whole load of other influencing factors over the next year and nobody knows which ones will happen at which times with what effect.

prosaver

I mean, if theres good news like nissan buildings new models here .. the pound shoots up , then ..remainers start wingeing ' Why , specials deals ..etc' then the pound went down... check it out ..its a fact.

bowlhead99

prosaver wrote: »

check it out ..its a fact.

Ah, I just briefly checked out your post history. That's saved me trying to give you any kind of reasoned response - it's not going to be worth my time trying to explain things to you.

ryan121

When article 50 is invoked and after the two year period we leave the EU. On both of these occasions expect panic and the value to sink like the titanic.

Just look at how much value has been lost with only a vote showing our intention to leave. It would be naive to believe it will not get much worse.

prosaver

bowlhead99 wrote: »

Ah, I just briefly checked out your post history. That's saved me trying to give you any kind of reasoned response - it's not going to be worth my time trying to explain things to you.

Well then you will know im .. i just use facts and dont get involed in
Titty tat.
Ok I'll make it simple for you.?
After we voted for brexit. .the remainers are still project fearing , and as a result the pound goes down.. plus it give the EU a stronger position in trade deals negotiations.
Well done tony blair and Co..

prosaver

ryan121 wrote: »

When article 50 is invoked and after the two year period we leave the EU. On both of these occasions expect panic and the value to sink like the titanic.

Just look at how much value has been lost with only a vote showing our intention to leave. It would be naive to believe it will not get much worse.

This might intrest you. http://www.telegraph.co.uk/business/2016/10/25/ftse-100-climbs-above-7000-and-pound-stuck-below-123-as-mark-car/

Don't think anyone knows ,