Forex Weekly Round Up 14/3/16 – 18/3/16

The main feature of this week was the Budget speech delivered by George Osborne on Wednesday. Here are the main highlights:

• Growth estimates revised down to 2.2% in 2016 2.4% in 2017.
• Corporation tax to be cut to 17% by 2020.
• 40% tax rate threshold to be increased to £45,000 by 2017.

As a result of the budget speech and due to investors rushing to change their bets on the Bank of England interest rate changes the Pound increased in value compared with a host of other currencies.

In other news, the Pound rallied against the US Dollar as investors continue to sell the Dollar after Thursday’s Federal Reserve amended policy outlook statement.

Also on Thursday, we saw the Pound reach its highest level in over a month against the US Dollar.

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Here are the exchange rates taken at 12:40 today. Please note that all conversions are based on interbank rates without any spreads and should be used only as a guide. For live ‘spot’ and ‘forward’ prices please feel free to drop us a line.

GBP/USD 1.4489
GBP/EUR 1.2838
USD/EUR 0.8860