The strength of the dollar.
#16
Re: The strength of the dollar.
However, the interest rate I got at that time was for an offset lifetime tracker at BOE + .59% so I can't complain. About 6 months or a year later, such deals didn't exist and mortgage financing regulations tightened up. My monthly interest has been less than £100 for the past 5 years.
It's easy to dwell on the negatives of our financial decisions but often there's a consequent positive somewhere.
#17
Re: The strength of the dollar.
I have some money left in Sterling in a UK account. If the rate ever gets favourable I'll convert it to $ and move it across.
However, here's the prediction that was asked for...
Having recently received paperwork from the bank about my US status, if they decide to close the account to avoid FATCA then that will happen at the same time as the pound reaches new depths against the dollar. Will they close the account? If so, when? No idea, but if it happens tomorrow, then on Friday the pound will start to climb again.
Yes, I'm a pessimist!
However, here's the prediction that was asked for...
Having recently received paperwork from the bank about my US status, if they decide to close the account to avoid FATCA then that will happen at the same time as the pound reaches new depths against the dollar. Will they close the account? If so, when? No idea, but if it happens tomorrow, then on Friday the pound will start to climb again.
Yes, I'm a pessimist!
#18
Re: The strength of the dollar.
One of the ForX brokers that gets mentioned on BE from time to time predicted, the other day, that during 2015 the £ will trade at between $1.40 - $1.65 to the £. Keeping his options open then.
#19
Re: The strength of the dollar.
As the GBP-USD rate has been in that range for probably 75% of the last 25-30 years, it wasn't a tough prediction to make.
#22
Forum Regular
Joined: May 2013
Posts: 45
Re: The strength of the dollar.
Apologies if this has been stated before but it's worth keeping an eye out for announcement ok UK interest rate changes
A few months ago when it was suggest by the Bank of England monetary committee that base rates may go up the pound went up against the USD to about 1.70 (interbank rate)
Since those increases came to nowt the strength of the GPB against the USD has gone back down
I do not claim to be a financial expert but this change was significant !
A few months ago when it was suggest by the Bank of England monetary committee that base rates may go up the pound went up against the USD to about 1.70 (interbank rate)
Since those increases came to nowt the strength of the GPB against the USD has gone back down
I do not claim to be a financial expert but this change was significant !
#23
Re: The strength of the dollar.
Apologies if this has been stated before but it's worth keeping an eye out for announcement ok UK interest rate changes
A few months ago when it was suggest by the Bank of England monetary committee that base rates may go up the pound went up against the USD to about 1.70 (interbank rate)
Since those increases came to nowt the strength of the GPB against the USD has gone back down
I do not claim to be a financial expert but this change was significant !
A few months ago when it was suggest by the Bank of England monetary committee that base rates may go up the pound went up against the USD to about 1.70 (interbank rate)
Since those increases came to nowt the strength of the GPB against the USD has gone back down
I do not claim to be a financial expert but this change was significant !
Even though it is expected by most economists that the US will raise interest rates next summer, if it happens, the rise will likely be very small and not frequent like most recoveries. Raising the discount rate from 0% to 0.25% means little especially if the next rise is 6 months later and is also another 0.25% rise. If a central bank is too aggressive, it throws the economy back into a recession.
In my opinion, the best scenario would be for the US economy to consistently grow at a 4%+ rate, average 400,000 jobs created per month, and the Fed tightens. The USD will likely rise but Europe will likely be pulled up by the US recovery and then a reversal in currency strengths will likely take place.
Last edited by Michael; Jan 7th 2015 at 8:00 pm.
#24
Forum Regular
Joined: Jan 2014
Posts: 277
Re: The strength of the dollar.
My bank at the moment is giving 1.45 to the £..
I need the money within the next couple of days/weeks- not sure if it's feasible to transfer it now or wait a couple of days?
Just a few weeks back it was 1.51 to the £. Compared to that this is wayy less!
I need the money within the next couple of days/weeks- not sure if it's feasible to transfer it now or wait a couple of days?
Just a few weeks back it was 1.51 to the £. Compared to that this is wayy less!
#25
Re: The strength of the dollar.
I held out for a fortnight hoping for a bit of a bounce back and finally changed some today, luckily only had to change a small amount but necessity overruled nerve!!! I'm no expert but I predict that the rate will drop further tomorrow, next week is anyone's guess!!!
#26
Re: The strength of the dollar.
I will shortly have to transfer the proceeds of my house sale from GBP to USD and am wondering whether I should do so in one fell swoop, or hedge my bets and do it in 'chunks' through the course of six to nine months.
Did anyone here use a similar strategy? Or do you just suck it up and avoid checking the rates again for several years?!
Did anyone here use a similar strategy? Or do you just suck it up and avoid checking the rates again for several years?!
#27
Forum Regular
Joined: May 2013
Posts: 45
Re: The strength of the dollar.
I will shortly have to transfer the proceeds of my house sale from GBP to USD and am wondering whether I should do so in one fell swoop, or hedge my bets and do it in 'chunks' through the course of six to nine months.
Did anyone here use a similar strategy? Or do you just suck it up and avoid checking the rates again for several years?!
Did anyone here use a similar strategy? Or do you just suck it up and avoid checking the rates again for several years?!
The other factor is whether your bank will limit the amount you can transfer either directly or indirectly in one go.