Sterling's Recovery in 2023Watch this video on YouTube After being one of the worst performing currencies of 2022, the Pound has staged an impressive recovery against the US Dollar, rising 15% from the depths of last September’s crisis. After years of decline, markets are now more optimistic the Pound will continue to strengthen. But why …
Why has the Pound Sterling been falling? The Pound has been in long term decline since after the Second World War, when £1 = $4.05. In recent decades the pound has continued to decline. In particular since the great financial crash of 2007, which hit the UK hard. In recent years, the combination of Brexit, …
In recent months, the Pound Sterling has fallen against the dollar to levels not seen since 1985. This reflects long-term concerns about the UK economy, Brexit, the winter energy crisis and concerns about an imminent recession. The pound has fallen 16% this year, and the last month was the worst since 2016. The Pound is …
In 1967, the UK government of Harold Wilson devalued the Pound from $2.80 to $2.40 (a devaluation of 14%). It was a major political event because the government had tried hard to avoid a devaluation, but felt forced into the decision because of a trade deficit, a weak domestic economy and external pressures from creditors. …
In recent post, I looked at whether Pound Sterling would have fallen without Brexit vote? There was a good case to say it was overvalued, but there are a few other factors I’d like to mention. Big Mac index According to the Big mac index, the Pound wasn’t overvalued at all. In fact, on this …
Readers question: How much will the Pound devalue? Since the start of 2016, the Pound has been depreciating against other currencies – especially the US dollar. Since Brexit end of June, the Pound has fallen another 10% heading to a 30 year low against the US dollar. Pound Sterling against the Dollar This is daily …
Looking at the economic factors which will influence the value of the Pound Sterling to the Euro in the future.
On Wednesday 16 September 1992, the UK economy was in deep recession, with unemployment of 10% interest rates of 10%, and the Pound was struggling to maintain its value against the D-Mark. As soon as markets opened, financial investors piled in to sell pounds to a beleaguered government, and Sterling fell, reaching the floor of …