Re: Exchange rate
 

Whether rightly or wrongly, when George Soros speaks the FX market reacts. So basically he's just talking his book - he's bought a load of GBP, says it's at the bottom, market moves up cos he said so, he cashes in.

Compare him to Jim Rogers who says GBP is heading south in a big way - but he would say that wouldn't he - that's were he's put his money.
(http://ftalphaville.ft.com/blog/2009...k-is-finished/)

Basically don't trust the opinion of commentators who are also massive VI's.

Edit to add: It wouldn't surprise me if those two had planned this together.

Re: Exchange rate
 

There's no doubt in my mind that the huge fluctuations in Sterling have been caused by speculators and the Conservative party bad mouthing the pound.

Now that Soros, the man who previously broke the pound, has said that in his view it's bottomed out, this can only be good news - hopefully, over the coming months, we'll see sterling slowly rise to a more realistic value.

M.

Re: Exchange rate
 

Hmm, so nothing to do with 12 years of economic mismanagement by Labour then. Why not go the whole way and blame Margaret Thatcher?!:blink::rofl:

Re: Exchange rate
 

What?? Conserv's are the ones saying labour need to prop the £! The rate change is probably because the US GDP came out today. As the biggest importer of CAD goods the US has a big impact on there $ rate.

Re: Exchange rate
 

Very true. Canada's GDP figure is out as well. In November the Canadian economy shrank by 0.7%, compared to the forecast 0.4%, which can't have helped the CAD.

Re: Exchange rate
 

I was referring to "huge fluctuations" , of course I agree that the economy is a mess in the UK and around the world, but, IMO, sterling has suffered further due to speculators and the Conservatives negative comments.

...and I still maintain that Soros's support is a good thing.

M.

Re: Exchange rate
 

It's a good thing in the short term if you are long in GBP and need to buy anything else. In the long term it's irrelevant - the market will (eventually) move GBP to where it belongs based on relative purchasing power, interest rates, balance of trade etc.

Re: Exchange rate
 

I hope you're right as this exchange rate goes up and down just as fast as gas prices in Ontario.... just bought a house but don't want to bring UK money over yet.... ah well..will wait and see if anything happens in our favour!!! :)

Re: Exchange rate
 

$1.81 at the moment the market must have liked the interest rate cut to 1.0%

Re: Exchange rate
 

Re: Exchange rate
 

I bought a bit too, much better than $1.67

Re: Exchange rate
 

That's bad though innit?

Re: Exchange rate
 

Not sure usually is, but it might be seen as a step that there trying to improve things so might actually seem to be a positive step for the £

Re: Exchange rate
 

1.83 - come on my son, let's be having you!!!!!!

Please keep creeping up, we're running out of Canadian money, really don't want to exchange when it's so low:blink:

Re: Exchange rate
 

It's been all over the place today - up around 1.84 - now back to 1.80. A lot of money to be made / lost today if you are an FX trader.