Two-dollar pound just 10 cents away

17 February 2004

The pound surged to its highest level against the US dollar for more than a decade today, making that shopping trip to New York even more affordable.

Sterling has gained massively against the dollar in recent months, and smashed through the psychologically important $1.90 today as speculators bet on a further-weakening of the American currency. But the fading greenback, which has caused seismic shifts in global currency markets in recent months, is bringing problems, too, for the UK.

Well, been watching these charts all week and finally my resistance broke and I bought loads of CAD$ from HIFX.

The bank rate just dipped under the magical 2.5 (about 2.499 or thereabouts when I ordered) and I got a respectable 2.471 for my personal purchase. It's worryingly easy to do.

Now all I need is a Canadian account to put it all in. Should be over in April, looking for something better than 0.25% or whatever interest is over there.

Banked with TD last time I was in Canada for any length of time and was reasonably happy with the service, can anyone recommend any 1-year bonds or anything that pay a decent percentage?

Cheers,

Iain