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By Alex Ellis

Mervyn King announced yesterday that the UK economy has a considerable way to go before UK interest rates return to normal. This caused sterling to fall sharply however towards the end of the day sterling had regained its feet and levels were picking up once more. The UK have had two positive data releases recently, UK GDP last week and retail sales figures on Tuesday and therefore this should help to keep rates steady for the remainder of the week.

There are continued fears that the USA may be heading towards a double dipped recession, recent data releases have highlighted a retraction in the growth of the economy. This has therefore caused fears to resurface of the possibility of a double dipped recession. If this were to happen then we could witness sterling reclaim some of this year’s large losses. However usually the UK follows suit and we may see the same happen with UK growth in the future.

In order to discuss how any of these topics may affect an upcoming currency purchase then use Currency Line to contact an experienced currency broker who can help to guide you through the process.

By Alex Ellis

The stress tests conducted on Friday have given the Euro a boost against sterling since the announcement that only 5 of the 91 banks tested failed. Although many analysts have criticised the stress tests as they believed they were in fact too easy and not as rigourous as they should’ve been.

For the time being anyway this has caused Euro strength and therefore it is a good time to sell Euros. Using Currency Line you can forward book exchange rates for up to two years in advance, so don’t count yourself out if you do not have the funds available.

By Alex Ellis

Sterling exchange rates have shown some resilience this morning as the losses that have been seen recently seem to have slowed. Sterling has been heavy hit recently following weaker than expected PMI data which showed that the future for the UK is still not certain. A senior member of the Bank of England commented last week that he expected the UK to enter into a double dipped recession, if this were to happen then the effect on exchange rates would be severe.

If you have an upcoming currency requirement then you may wish to conduct this before  we risk going any closer top a double dipped recession, otherwise the impact could make your transaction much more costly.

By Alex Ellis

Sterling exchange rates remained steady this morning following yesterdays losses against the Euro. These losses were experienced following uncertainty surrounding the possibility of a double dipped recession. A senior member of the Bank of England was quoted this week as saying he believed we would enter into a double dipped recession and the market responded to this.

Meanwhile in other news US dollar exchange rates have peaked at the highest levels seen for over 8 weeks. If you are looking at buying levels you are much better off doing this now than you would’ve been a few weeks ago.

By Alex Ellis

Sterling exchange rates have fallen drastically over the last 48 hours as the Bank of England’s policy maker Adam Posen revealed he is not ready to raise interest rates because he thinks we may enter into a double dipped recession.

If we were to enter into a double dipped recession then we could only expect sterling exchange rates to tumble downwards. This news has had a clear and obvious negative effect on current exchange rates and therefore if you do have an upcoming currency requirement then you may want to consider booking forward to avoid any future losses.