Canadian Dollar boosted by increasing oil price, Brexit to continue to dominate headlines (Joseph Wright)

So here we are on the day of the Referendum, the event we’ve been discussing for most of the year on this blog and I’d imagine the entire financial world has their eyes glued to whats unfolding here in the UK.

Sterling exchange rates have been gaining since Monday, as campaigning commenced once again after the 2 day break due to last week’s tragic death of MP Jo Cox. After the brief pause it would seem like the ‘Remain’ camps have taken the lead in the polls and as the bookies favourites and this has been reflected within the currency markets as the Pound has been gaining for most of the week against all major currency pairs.

The gains against the Canadian Dollar haven’t been quite as substantial for the Pound as whilst sentiment has improved for GBP/CAD, the increasing price of oil has boosted the Loonie, as it’s a commodity currency so therefore it’s price can be influenced by commodity demands and prices.

Moving forward I think the longer term downward trend for GBP/CAD will resume once the ‘Brexit’ talk has been and gone. Oil prices have a long way to climb to get back to the levels they originally dropped from so anyone looking to convert GBP into CAD may wish to take advantage of the recent upwards movement for the GBP/CAD exchange pair.

If you have an upcoming currency requirement involving GBP/CAD, feel free to get 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.