Robin Hood wrote:Milti:
Robin, currencies do fluctuate on a daily basis based on a plethora of economic indicators .
What is happening to the pound right now is due solely to the referendum outcome.
Of course currencies fluctuate! Once again, if they didn’t the currency speculators wouldn’t make any profit. The referendum is an excuse! When they thought that ‘
remain’ was the likely result it went up to 1.41, reality kicked in and a lot of speculators made a lot of money, as it went down to 1.22 almost overnight. They shorted the pound and it paid off. They will be doing the same now ........ shorting the pound but in reverse. Betting it will rise!
If Sterling goes down .... good news for the UK economy as our exports cost less and the cost of imports rise. (
We buy less imported stuff) If it goes up, good news for me ... so does my pension. The effect on those living in the UK is minimal ....... it will not affect the pound in their pocket, as the change takes time to work its way through in the real economy.
Your economist friend is wrong in telling you that the pound will soon recover. It will not. The downward journey will continue because investors will not take the risk.
Where do you get your economic advice from? Or is it just what you think will happen?
What investors? Those investing in the real economy will be likely to buy/invest with the pound at a low rate as they will get more for their Dollar/Euro but like me, they will be optimistic and expect it to rise.
In a month from now, and you may quote me, the pound will be on par with the Euro.
I somehow doubt it!
Robin, with due respect do get your figures right. A day before the referendum the pound MMR stood against the Euro at 1.31.
What s happening now is that following the disastrous Brexit vote international investors have lost confidence in sterling and are moving their cash investments to the dollar, Euro or other lucrative currencies. It has always been this way.
As a qualified accountant, not an economist, I have been following currency movements for years now, the Euro mostly and in a smaller fashion the US Dollar.
The Brexit vote was the biggest economic disaster to engulf the UK economy. Its not enough stating that such and such economist thinks that the pound will recover. The vast majority of learned economists warned the nation of the consequences of a Brexit vote, the Brexegyriatrics were not interested, they just wanted their ....country back and no more E.E immigration.
There are 3 million Brits living in the EU nations, most are senile old bloody fools who voted for Brexit, just never did their maths right, now they are seeing their pensions diminishing day by day, and it will get worst as days go by until the people realize what a disaster this result is and lobby their MPs in their thousands not to repeal the accession act and put a stop to this madness.
My losses thus far are in excess of £750 and its only been a few days.
Now of course our NHS is to benefit by 350 arhidia per week and we shall no longer be ....dictated by Europeans.
The more it sinks in the more I blame the government for promising a referendum in the first place and allowing little Englanders and geriatrics to cause so much damage to our economy.
