Derek Taylor, our very own foreign exchange expert, is recommending that Travel Money Club members buying Euros this week should target their “Forward Orders” at €1.1150 for a great deal.
The “Forward Order” feature is exclusive to Travel Money Club and allows members to automatically buy currency when their target exchange rate is reached. They simply tell the us what currency to buy, what exchange rate to buy at, and the payment card to use. Then if and when the target exchange rate is reached, we automatically execute the order and deliver next business day* (for orders completed by 1pm). As it all happens in the blink of an eye, even if your target rate is only achieved for a couple of minutes, we will still execute your order!
Derek told us:
“UK Interest Rates are the Focus.
“It was all about UK interest rates last week. On Thursday 3rd August the Bank of England left rates unchanged. Previous hawkish comments from the Bank had led market watchers to anticipate that rates may start to rise, so unchanged rates led to a selloff in Sterling across the board. GBP/EUR, which had been trading at 1.1200, sold off down to 1.1050.
“On Friday at 1.30pm, the US non-farm payrolls came better than expected, breaking the run of poor US data. The dollar was bought heavily against all currencies, but this didn’t really affect Sterling crosses, as it was just Dollar news.
“Our range for GBP/EUR has to reflect this and so has been adjusted down to 1.0950-1.1150. This reflects the facts – Sterling data has weakened and rates remain unchanged, while Eurozone data is picking up and rates are expected to rise.”
Events for the coming week to watch out for:
Thursday 10th August, 9.30am UK Trade Prices, and at 1.30pm, US Producer Prices.
Friday 11th August at 1.30pm, US Consumer Price Index (CPI).
Remember, breaking news moves markets!
Disclaimer: Opinions expressed are solely those of Derek Taylor and do not necessarily express the views or opinions of the Travel Money Club or any other organisation mentioned herein. These opinions are not intended to be a source of advice and any action taken as a result of this information is entirely at the reader’s own risk.
ABOUT DEREK TAYLOR
Derek is Director and Co-Founder of the Travel Money Club, as well as CEO of Taylor Associates (International) Ltd, one of the City of London’s foremost financial and market training organisations. Taylor Associates was established in 1993, specializing in derivatives, capital markets, risk and treasury training. He has personally trained in banks, brokers, asset managers, hedge funds and corporations both in the UK and overseas.
Derek’s career started in Midland Bank Group Treasury working across a broad product range including Money Markets, Foreign Exchange, Equity and Fixed income. He rose to the level of senior Director, before moving to Lehman Brothers, and then Bank of America working both in London and NY.
Derek has primarily worked as a trader, both inter-bank and proprietary, but has also spent some years as an inter-bank broker, running desks at two of the world’s leading brokerage houses, Tullett Prebon and Harlow Butler Savage (now part of the ICAP group).
Derek is a frequent speaker on Financial Markets subjects all over the World, and is an Associate of the Chartered Institute of Bankers (ACIB), a member of the Forex Association (ACI), and a member of the Society of Technical Analysts (MSTA).
* Please note that a small number of currencies are not available for next business day delivery. The actual delivery date will be clearly displayed in your order acknowledgement.
Derek Taylor, our very own foreign exchange expert, is recommending that Travel Money Club members buying US Dollars this week should target their “Forward Orders” at $1.3000 for a great deal.
How to get the best holiday deals at any time of year It’s no secret that the cost of holidaying varies throughout the year with prices for some particular times increasing by as much as 115%. Keeping an extra close eye on your spending and making sure it’s not excessive or unnecessary, will mean your […]