How low do you think the £ will go?

(7 Posts)
Draylon Mon 27-Jun-16 17:59:55

graph

Must admit I'm more than a bit worried, now!

I mean, Carney's poured oil on it, Osborne's made soothy noises- yet at midday today it hit 1.19 Euros and $1.31.

Luckily we bought our holiday Euros the w/e before this debacle, but do you think this is a short term -ahem- blip, if so, how short?

ItsAllGoingToBeFine Mon 27-Jun-16 18:03:59

I can't see it recovering until our "leaders" come up with some sort of plan to move forward/ we conclude negotiations with the EU - of course depending on how these things go it's new stable level may well be a lot less than previously.

Brokenbiscuit Mon 27-Jun-16 18:22:40

Not sure, but wishing I'd bought my holiday Euros earlier - did think about it, but I really thought that Remain would win, so I assumed no rush. More fool me!

concertplayer Wed 29-Jun-16 08:19:14

The rate with the us dollar needs watching more than with the Euro
(which has seen similar falls) as so much in world trade is done in USD
eg aircraft fuel .
However if Sterling keeps on falling the GB government will just raise
interest rates to protect it.

JoJoSM2 Fri 01-Jul-16 00:03:54

I think Carney hinted at lowering rather than raising interest rates...

niceguy2 Fri 01-Jul-16 13:26:25

It's too early to tell. Market sentiment is a funny old thing and right now there's a sense of disbelief that we will leave the EU so the FTSE has recovered a lot but the pound dropped on Carney's news.

We're still only a week into this and I suspect the next couple of years will be incredibly volatile as the next PM will have to give notice on article 50 and as negotiations continue I predict both shares and our currency will go up & down a lot.

Already today we've seen GO use Brexit as an excuse to abandon fiscal targets most don't think he could have met anyway. That means more debt, more borrowing. Great....thanks a bunch Boris.

concertplayer Fri 01-Jul-16 16:27:05

Yes and if we have to borrow more won't it cost us more with a low £?

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