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GBP-CAD Forecast April 2016
After the Sterling to Canadian Dollar exchange rates fell away at the end of last week, the GBP-CAD forecast has improved with exchange rates moving from lows of around 1.85 to highs of 1.8670, over the course of the days trading.
With little surprises in today’s data there was little to drive the exchange rates upwards and this was more a correction after last weeks falls. The UK Constructions PMI data came out at 54.2, showing mild growth as predicted. There was also a speech by BoC Gov Poloz, but this was to discuss a woman being on the next bank note, so will have given little clue as to the health of the Canadian economy.
To put today’s movements into perspective, a typical purchase of $200,000 CAD would cost you around £1000 less this afternoon than the same trade this morning. This just highlights how volatile the currency markets can be and the importance of staying in close contact with your account manager, to keep up to date with the exchange rate movements.
Data effecting exchange rates
Looking at the data being released this week, there is plenty coming out that could change the amount you pay for your currency. Any sort of political or economical events or data can move the exchange rates dramatically.
If you are buying or selling Canadian Dollars, there are several key pieces of data to watch out for this week. Tomorrow we have the latest Trade Balance figures. These will be closely watched as Canada has been suffering at the hands of the record low oil prices recently and growing competition from Mexico’s manufacturing sector. It is forecast to show a positive 0.9Bn which would strengthen the Loonie, making it more expensive to buy.
There is also a speech by Gov Council Member Wilkins, where he will discuss the issues surrounding China and how they may effect the Canadian economy.
Wednesday and Thursday we have some minor data in the form of IVEY PMI and building permits. Friday will have a little more weight behind it as we see the latest employment change and the Unemployment Rate.
Getting the best exchange rate
If you have an up and coming currency requirement, we can help save you money. We offer exchange rates often up to 5% better than your high street banks and have various contracts to suit every requirement. If you are buying a property abroad, paying foreign suppliers or just topping up an overseas account, we can help you save money.
Opening a trading facility does not cost or obligate you in any way and only takes a couple of minutes online. Alternatively, if you just want a free quote on your currency purchase, contact me on the details below or complete the enquiry form.
T: 01442 892 060