USD – GBP Reaches 7 Year HighFebruary 25, 2016 4:47 pm
This week’s news had a major effect on the Pound Sterling.
News emerged that there is a growing risk of Britain leaving the European Union after Boris Johnson backed the UK leaving the EU. The pound hit its lowest level against the Dollar in almost 7 years as a result of this. This year has already caused the pound to be pushed down by more than 4% against the USD as a result of discussions this year around a British Exit from the EU.
The EUR has gained a lot of strength against the GBP in the last few weeks following recent events. However, should Britain decide to exit the EU this could have massive implications on the EUR currency market and cause a big weakness within the currency. The currency markets themselves will become extremely volatile after such a huge change within the European Union.
The GBP has been on course for becoming the weakest against the USD for more than 30 years. The GBP currency is currently at a 7 year low against the USD after news released around Britain leaving the EU. Dropping to an interbank rate of 1.3906 today, this will be very beneficial to anyone currently holding their USD looking transfer into GBP.euros to pounds, sell euros
Categorised in: News
This post was written by Kayleigh Driscoll