Could the Pound continue to rise vs the Canadian Dollar? (Tom Holian)

The US has posted lower than expected GDP data for the quarter at just 0.7% which is much lower than what President Donald Trump has suggested previously when he made claims that the US would grow by 4% in his election campaign.

Owing to its close trading links between the US the Canadian Dollar has fallen because of the news. If the US slows down this is likely to have a knock on effect in Canada hence the reason for the fall for the CAD$ vs the Pound at the end of the week.

Poltically the situation between Trump and the Canadian president appears frosty at the moment with increased tariffs on trade being proposed by Trump on Canadian imports.

Sterling is now trading at its highest level against the Canadian Dollars in months and I expect the Pound to continue to make gains in the weeks ahead.

However, there is a risk posed to Sterling towards the end of the month as the UK election is due to take place on 8th June. Whenever an election is held this often results in a problem for the currency involved. Therefore, if you’re looking at buying Canadian Dollars with Pounds then it may be worth organising this in the near future.

If you would like further information about buying or selling Canadian Dollars or a free quote then contact me directly. Having worked in he foreign exchange markets since 2003 I am confident not only of being abe to offer you better rates of exchange compared to using your own bank but also help you with the timing of your transfer.

Tom Holian teh@currencies.co.uk

Will GBPCAD rates continue to rise?

Sterling to Canadian dollar exchange rates have risen today as the market for buying Canadian dollars finally improves with sentiments finally favouring the pound after a very tricky year. The UK is currently in a strong position to capitalise on the recent news but there does remain some very large risks to the current outcome including the UK General Election. The Canadian dollar is looking like it could weaken further as Trump’s trade plans begin to unwind and we find that the market no longer favours a stronger US dollar and therefore Canadian dollar.

If you are buying the Canadian dollars in the future I would be making some plans around the likelihood of a much weaker Canadian dollar this week or in the future. It seems each day lately the Canadian dollar has weakened which has only created further problems for clients looking to sell Canadian dollars for pounds. It now appears the excellent rates on offer for Canadian dollar sellers should not have been taken for granted recently!

If you have a requirement buying or selling Canadian dollars the next few weeks are going to be very interesting and could present some very interesting opportunities to buy and sell currency. The overall expectation for the market is to see a weaker pound ahead of the election so if you need to sell CAD for sterling making plans sooner than later is probably a very smart move.

If you have a requirement to buy or sell CAD in the future then why not get in touch with us to find out about the latest news which could help you to make an informed choice about the best way forward. For more information please email jmw@currencies.co.uk with a brief outline of what you would like to do.

Canadian Dollar loses value due to Trump Tariff (Daniel Johnson)

Lumber Tariff weakens the Canadian Dollar

The Canadian dollar has lost ground against Sterling following Trump’s decision to impose tariffs on lumber exports from Canada. The dairy trade dispute has escalated.  There is a new Canadian milk policy which US producers are unhappy with stating it violates the North Atlantic Free Trade Agreement (NAFTA). The US have responded by putting in place anti-subsidy tariffs of nearly 20% on lumber imports. Lumber has been a matter of contention between the the two since the 80s. Canada responded stating the tariff is unfair and have indicated at litigation although they would rather come to some sort of agreement.  The tariff is bad news for this sector as other areas maybe targeted. The US department of commerce has looked at companies in other sectors that it views are state subsidised giving them what could be considered to be a unfair advantage.

The tariff is not good news for the Canadian dollar due to it’s reliance on raw material exports. If the matter escalates further there could be further tariffs imposed which could cause further Canadian Dollar weakness.

Data Releases of Consequence

Keep an eye on UK GDP released on Friday, I expect there to be a slight contraction although I do not expect this to hit the pound too hard. Canadian GDP is also released on Friday and I would also expect to see a fall to add to Canadian Dollar woes. Things are currently looking good for Canadian Dollar buyers.

If you have a currency requirement I will be happy to assist. It is wise to be in touch with an experienced broker in an attempt to maximise your return. If you let me know the size, time scale and the currency pair you are trading I will produce a trading strategy to suit your individual needs. I can be contacted at dcj@currencies.co.uk. Thank you for reading.

Canadian Dollar weakens vs the Pound owing to US Tariffs (Tom Holian)

The Canadian Dollar has struggled vs the Pound after a decision made by US President Donald Trump that he will be looking to increase tariffs on softwood lumber coming in from north of the border.

Further to this the US and Canada are at loggerheads over a proposed new Canadian milk policy which means that Canada may look to cease importing milk from Wisconsin.

Trump responded in a tweet saying ‘Canada has made business for our dairy farmers in Wisconsin and other border states very difficult. We will not stand for this.’

The US have put in tariffs of 20% on the lumber imports which has caused the Canadian Dollar to weaken which is good news if you need to send money to Canada for a property purchase or if you’re thinking of emigrating.

Canadian Retail Sales are due out today and could come out lower than expected owing to the recent issues since Trump became President of the US.

GDP figures are also due to be released are are expected to show a decline to 0.5% for last month and this could send GBPCAD exchange rates in an upwards direction.

Therefore, if you’re looking to buy Canadian Dollars with Sterling then it may be worth seeing what happens at the end of the week.

Having worked in the foreign exchange industry since 2003 for one of the UK’s leading currency brokers I am confident not only of being able to offer you bank beating exchange rates but also help you with the timing and offer you different contract types typically not available from your own bank.

If you would like further information or for a free quote when buying or selling Canadian Dollars then contact me directly for a free quote and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

 

 

What issues could impact the Pound to Canadian Dollar rate? (Joseph Wright)

The Pound has gained almost 10 cents against the Canadian Dollar in just the last 2-weeks, as the Pound continues to rise on the back of the election called by Theresa May, the UK Prime Minister.

I expect the election and speculation surrounding it to impact Sterling exchange rates over the next few months, due to the differing plans and outlooks from the UK political parties regarding the Brexit. As it stands the conservatives are favorites to win come the election in June, and that certainty has offered the Pound support but how long this trend lasts remains to be seen.

With regards to the Canadian Dollar, there are also a number of issues that could impact its value. The currency has weakened in the wake of rising geopolitical tensions surrounding Syria and also North Korea, as being a commodity currency its likely to remain under pressure until these issues subside.

The US President, Donald Trump has also been highly critical of the North American Free Trade Agreement in recent weeks which has also weighed on the Loonie’s value.

There’s little key data out of the UK and Canada this week that’s likely to impact the GBP/CAD rate directly, but perhaps this Friday’s UK GDP data that will be released at 9.30am will impact the rates should the figure deviate from market expectations of 2.2% annually.

If you are planning to make a currency exchange involving the Pound and the Canadian Dollar, it’s well worth your time getting in contact with me on jxw@currencies.co.uk in order to ensure you make a well informed decision on when to make that particular transfer, as well as benefiting from highly competitive exchange rates from one of the UK’s leading foreign currency brokerages. Just provide me with a basic outline of your currency requirement and I will be back in touch with you as soon as possible.

GBPCAD rates improve to 1.73, will it last?

The pound to Canadian dollar has really risen in the last week as we learn of the UK’s General Election being called which is expected to fuel a sterling surge as Theresa May and the Conservative party strengthen their hand. The Canadian dollar is also a little weaker as the US dollar softens and markets remain sceptical about the outcome of the French election. Overall expectations are shifting as to what might be a realistic outcome and performance in such economic conditions, as a commodity currency the Loonie will weaken in times of more global uncertainty as investors adjust their holdings for what appear to be a more stable outlook.

The expectation for the rates is that we could easily see some improvements but the pound will also struggle again in the future owing to the uncertainty of the Brexit. Many clients buying Canadian dollars will struggle in the future to get these kind of levels if the pound does deteriorate much further. If you need to buy Canadian dollars in the future making plans in advance seems to me the very best bet moving forwards.

GBPCAD has been in the 1.60’s for most of 2017 but with trades now above 1.70 I think this is the right time to be considering a CAD purchase. This week there is a whole host of economic data due which will take some of our attention with lots of political events in the background easily likely to disrupt previous market expectations.

If you have a transfer to consider making some plans in advance is a smart move to try and avoid the uncertainty of yet further slips and slides on the rates. For more information at no cost or obligation please speak to me Jonathan Watson by emailing jmw@currencies.co.uk outlining your situation and how we might help.

GBP CAD Rockets on Snap UK Election Decision (James Lovick)

The pound has rallied to a 7 month high against the Canadian dollar this week creating an excellent opportunity for those clients needing to buy Canadian dollars. The trigger for the improvement in the numbers has been as result of the announcement of a snap general election in the UK for 8th June.

The markets have taken the news incredibly well and the belief is that the Conservative government will win a clear majority which should help strengthen the negotiating position with regards Brexit. Those clients looking to buy Canadian dollars would be wise to consider their options as the movement has been so great that it is inevitable there may be a tail off in the rates.
GBP CAD has hit a high of 1.7268 this morning and there may be a little more room left in this rally. The French election is now the central focus for the financial and currency markets this weekend with the first round of voting being held on Sunday. The pound in my view is likely to be heavily impacted by a Marine Le Pen win which could see sterling strengthen even further against the Canadian dollar in this scenario.
Today sees key economic data for Canada with Consumer Price Index inflation numbers released this afternoon. Any strengthening in the numbers could see the Canadian dollar strengthen. Canadian retail sales numbers are released on Wednesday next week although in these markets it is the political developments in the UK and the EU which are the main driving forces as far as GBP CAD is concerned.
If you would like further information on Canadian dollar exchange rates or any of the major currencies and to discuss how we can assist then please feel free to contact me on 0044 1494 787 478 and ask one of the team for James. Alternatively, I can be emailed directly on jll@currencies.co.uk

Pound to Canadian Dollar rates still rising (Joshua Privett)

Like the US Dollar the Canadian Dollar is currently suffering against the Pound, with Pound to Canadian Dollar exchange rates breaching new 5 month highs.

The Pound’s rally, if you haven’t been in tune with the news this week, has been attributed to the sudden and euphoric announcement of an election in the UK.

Contrary to what many are looking at, this rally is not simply because markets prefer a Conservative government, which is currently performing 24 points above what Labour is managing to put up in terms of hard numbers in the polls.

Much more so than this, this is a vindication of confidence in how a Conservative victory would improve the UK’s negotiating position during the Brexit.

Should the Conservative take their majority – Theresa May would not longer be an un-elected Prime Minister but one with a mandate and without the prospect of having an election mid-way through negotiations, markets are fairly confident in her abilities.

Polls will continue to shift, but it seems likely at this point that the GBP/CAD pairing will continue to find support in value from the UK, making the prospect of buying Canadian Dollars a cheaper one.

If you are planning to make a currency exchange involving the Pound and the Canadian Dollar, it’s well worth your time getting in contact with me on  jjp@currencies.co.uk  in order to ensure you make a well informed decision on when to make that particular transfer, as well as benefiting from highly competitive exchange rates from one of the UK’s leading foreign currency brokerages. Just provide me with a basic outline of your currency requirement and I will be back in touch with you as soon as possible.

I have never had an issue beating the rates of exchange on offer elsewhere, so a brief conversation could save you thousands on a prospective transfer.

Theresa May calls for an election and Sterling soars in value. (Daniel Johnson)

Snap election benefits the Pound

Theresa May announced on Tuesday she would be calling a general election 8th June. Historically, a snap general election would cause the currency in question to weaken, but on this occasion the opposite has occurred. The Conservatives are currently significantly in front in the polls and are solid favourites to win the election. It was a shrewd move by the PM, almost guaranteeing another term in office by timing the election when the competition is so weak.

A conservative government is considered to be positive to the UK economy and investors gained confidence following the announcement,  due to this we saw significant gains for the pound against the Canadian Dollar.

OPEC Deal key factor in Canadian Dollar strength

The Organisation  for Petroleum Exporting Countries is currently in negotiations to extend a limitation on oil production. Saudi Arabia’s oil minister Khalid al-Falih said “Consensus is building, but it is not done yet,” he told reporters at an industry event in Abu Dhabi on Thursday. “We are still in consultations.”

If the extension does come to fruition this will be positive for the Canadian dollar. Oil is Canada’s main export, any change in oil price has an effect on the Canadian Dollar.  If you have a currency transfer involving the Canadian dollar it would be wise to keep up with events as the unfold.

If  you have a currency requirement it is important to be in contact experienced broker. The timing of your trade is crucial, If you have an experienced broker on board they can keep you up to date with what is happening in the market to help you make an informed decision. Should you find our blogs useful and you would like me to assist with your trade I will be happy to help you personally. If you let me know me of the the currency pair you are trading, volume and time scale and I will provide a free trading strategy to suit your individual needs. I work for one of the top brokerages in the country and as such I am in a position to better virtually every competitors rate of exchange. You would also be looking at saving anything up to 4% in comparison to high street banks. Please do get in touch by contacting me at dcj@currencies.co.uk. Thank you for reading my blog.

Bank of Canada keeps Interest Rate on hold but could they rise soon?

The Bank of Canada has kept interest rates on hold today as we get closer to understanding further what they plan for monetary policy in the future. The BoC has brought forward their plans to hike interest rates in the future, prompting some small rises in the value of the Canadian dollar against most currencies. GBPCAD which has risen to almost 1.67 has fallen back to 1.66 which is presenting a much-improved position to buy pounds with the Loonie.

If you are buying Canadian dollars with the pound the overall position has greatly improved in the last two weeks since Article 50 was triggered as the market generally embraces the vision for the UK of what might happen in the future. Another factor is also, of course, the fact that nothing will materially change the UK’s relationship with the EU for at least two years. Markets will have plenty of time to digest the market in the coming weeks, months and years.

The overall expectation is the Canadian dollar will actually now strengthen owing to the likelihood of a future interest rate rise. This is because a higher interest rate makes that currency more attractive for investors to hold. The overall impression for the market is therefore that by holding or investing in Canadian dollars, investors will make more money down the line.

With sterling unlikely to enjoy the good news for too long before market concerns switch back to the concerns over Brexit, Canadian dollar buyers should not be too confident of getting much higher rates in the coming weeks. If you have a transaction to consider please speak to me Jonathan by emailing jmw@currencies.co.uk for an overview of the latest trends and themes on the market. Plus I can help offer an exchange rate which I am positive will save you money too.