CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading CFDs with this provider (Saxo Bank). You should consider whether you understand how CFDs, FX or any of our other products work and whether you can afford to take the high risk of losing your money.

Staying on top of the latest currency news can help you time your transfers more effectively, so find out what you should be looking out for over the next couple of weeks…

Latest currency news

The pound has been driven lower over the last couple of weeks as Brexit related uncertainty and a dovish Bank of England (BoE) take their toll on the currency.

This has seen GBP/EUR slump from 1.18 to 1.16 as EUR/GBP accelerated to 0.85.

Meanwhile, GBP/USD has slipped from 1.32 to 1.29, whilst EUR/USD eased from 1.12 to 1.11.

What’s been happening?

The pound is off to a poor start so far in 2020, with investors fearing the UK will face a no-deal Brexit this year amid scepticism Boris Johnson will be able to reach a trade deal with the EU by December.

Also weighing on Sterling sentiment have been some dovish remarks from the BoE, sparking speculation the bank could cut interest rates in the first half of 2020.

The euro has also struggled over the past couple of weeks, undermined by some weak German economic data and broad USD strength.

This uptick in the US dollar has been largely driven by a risk-off mood in markets in light of heightened tensions in the Middle East following the US killing of Iranian general Qasem Soleimani.

What do you need to look out for?

In the UK the spotlight is likely to remain on Brexit through the remainder of January as the country prepares to officially leave the EU at the end of the month.

For EUR investors the focus will be on the European Central Bank (ECB) as it holds its first rate decision of 2020 and begins a wide-ranging review into its policy strategy.

Meanwhile, the US dollar may strengthen in the weeks to come as the signing of a ‘phase one’ deal between the US and China will help to ease trade tensions between the two powers.


Our friends at Currencies Direct

At Currencies Direct we’re here to talk currency whenever you need us, so get in touch if you want to know more about the latest news or how it could impact your currency transfers.

Since 1996 we’ve helped more than 250,000 customers with their currency transfers, just pop into your local Currencies Direct branch or give us a call to find out more.

Exclusive Offer for Collins Sarri Statham Clients & Newsletter Subscribers

Find out more

Post a comment

Your email address will not be published. Required fields are marked *

Get Started with CSS

Open an Account

Subscribe to our award winning daily newsletter

Voted "Best Market Newsletter" in 2012, 2014, 2015 and 2017 by the City of London Wealth Management Awards

Subscribe to our newsletter (Popup)

By signing up to our free email, you are consenting to receive these promotions. The newsletter is sent up to three time per day during the week and up to once per day over the weekend. The newsletter contains company news, market movements, CSS research and promotions and breaking economic news. Occasionally our newsletter will contain advertisements from trusted partners. However, we will never give, sell or rent your email address to any other companies. If you want to stop receiving our free emails you can unsubscribe at any time by clicking on the link at the bottom of each email. You can read our privacy policy here.

Sending
No, thank you I am already subscribed