$2 to the Pound. Will it last?
Nov 28th 2013, 7:17 pm
#1
Forum Regular
Thread Starter
Joined: Feb 2012
Posts: 87
$2 to the Pound. Will it last?
Perhaps not according to MoneyCorp.
"....sterling could continue higher, indeed it may well do so. But, like the eagle that runs out of oxygen as it reaches the stratosphere, the pound might find it needs to return a little closer to earth to regain its breath. Despite the Bank of England governor's eulogistic description of the UK economy to Parliament earlier this week there is growing concern that it could be the wrong sort of growth, driven not by wealth creation and trade but by consumer spending and an expanding house price bubble.
It is not the aim of this column to pour cold water on sterling's achievements this year but anyone with foreign currency to buy should have a long hard look at today's exchange rates. The pound is close to an eleven-month high against the euro, the US dollar and the Swiss franc, an eighteen-month high against the NZ dollar, a three-year high against the Canadian and Australian dollars and a five-year high against the South African rand and Japanese yen. Of themselves these are not reasons to sell the pound. But they are most certainly opportunities. It is, after all, Thanksgiving Day."
Looking at the 10 year chart though it does look as if some sort of head and shoulders has possibly formed. Fingers crossed.
http://www.xe.com/currencycharts/?fr...o=GBP&view=10Y
"....sterling could continue higher, indeed it may well do so. But, like the eagle that runs out of oxygen as it reaches the stratosphere, the pound might find it needs to return a little closer to earth to regain its breath. Despite the Bank of England governor's eulogistic description of the UK economy to Parliament earlier this week there is growing concern that it could be the wrong sort of growth, driven not by wealth creation and trade but by consumer spending and an expanding house price bubble.
It is not the aim of this column to pour cold water on sterling's achievements this year but anyone with foreign currency to buy should have a long hard look at today's exchange rates. The pound is close to an eleven-month high against the euro, the US dollar and the Swiss franc, an eighteen-month high against the NZ dollar, a three-year high against the Canadian and Australian dollars and a five-year high against the South African rand and Japanese yen. Of themselves these are not reasons to sell the pound. But they are most certainly opportunities. It is, after all, Thanksgiving Day."
Looking at the 10 year chart though it does look as if some sort of head and shoulders has possibly formed. Fingers crossed.
http://www.xe.com/currencycharts/?fr...o=GBP&view=10Y
Nov 28th 2013, 8:26 pm
#2
BE Forum Addict
Joined: Jan 2009
Location: South Auckland
Posts: 2,228
Re: $2 to the Pound. Will it last?
Ever the optimist, I've got a bid in for a sale at 2.2! I wouldn't be betting my life savings on it though.
Dec 1st 2013, 10:38 am
#3
Forum Regular
Joined: Oct 2013
Posts: 80
Re: $2 to the Pound. Will it last?
Interesting for us... As we were thinking of bring some money across for a deposit on a house!
Dec 2nd 2013, 12:13 pm
#4
Forum Regular
Joined: Jan 2013
Location: North East England (for now)
Posts: 95
Re: $2 to the Pound. Will it last?
I hope when I head back out there it gets back up to $2:£1 as it was when I first headed out - for purely selfish reasons, of course.
Dec 3rd 2013, 3:12 am
#5
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Joined: Jul 2007
Location: bottom of the world
Posts: 4,533
Re: $2 to the Pound. Will it last?
no reason at all for it to fall below 2:1 in the foreseeable future.
we had this argument when it first passed the 2 buck mark many many many many months ago.
we had this argument when it first passed the 2 buck mark many many many many months ago.
