The headline from the weekend has of course been the collapse of Carillion, the UK’s second largest construction company which works closely with the government and has a high number of outstanding contracts which it’s now likely to default on.
The impact on the Pounds value so far has been minimal, but as it emerges that a number of other companies are likely to be dragged into this I think the fall-out is far from over. It comes at a bad time for the current government as Brexit negotiations need to be priority but this matter is certainly not going to go away any time soon.
From an economic data standpoint the rate of UK inflation fell slightly in December, down to 3% from the previous figure of 3.1% and as this is what most economists had predicted the markets remained unchanged. Those following the Pound’s value should be aware that a sharp jump in inflation would likely result in a jump in Sterling’s value as investors are likely to pre-empt a rate hike from the Bank of England.
If you’re monitoring the Pound to Euro exchange rate and would like to be notified in the event of a major spike in either direction, do feel free to register your interest with me.
At times data can really move the exchange rates if the figures released don’t meet expectations, or exceed them so knowing what’s scheduled for release can be useful as well as having someone such as ourselves to keep you updated.
If you have a large currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency. A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Joseph Wright) on email@example.com and I will endeavour to get back to you as soon as I can.