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The best rates to buy Francs since the Referendum vote!

The best rates to buy Francs since the Referendum vote!
January 24
08:51 2018

GBPCHF has hit its highest point since the EU Referendum vote in June 2016, 19 months ago. The interbank rate of 1.34 is providing some much need respite for CHF buyers with pounds who have been struggling with some of the lower rates since 2011. If you have a transfer buying or selling the pound for the Franc it is important to be aware of the key trends which drive this currency pairing.

The outlook for the GBPCHF exchange rate could now see the pound rise even further as we get more news to help the pound and investors are less inclined to hold the Franc. This would be evidenced by the shift on the Franc against most currencies as investors seek more profitable shores. The Franc is a safe haven currency which means in times of economic or political uncertainty it will strengthen.

In times of political and economic certainty the opposite is true, the Franc will be weaker as investors are more confident to invest their money in riskier (higher yielding) assets. The recent trend for the pound to rise further against the Franc could now be in motion as confidence over the outlook on Brexit continues and the global economy continues to roll forward.

The big danger is, of course, any big shifts or reversal of these sentiments would see a big change in the GBPCHF rate. General impressions are for the trend to continue but it is when everything is looking positive and without a problem that the market can suddenly change.

If you have a transfer buying or selling the Swiss Franc against the pound then expectations are for the rates to get better for Franc buyers, however, this could quickly change. Key information from the ECB (European Central Bank) tomorrow will provide a big indicator as to the future path on monetary policy on the Euro, this could also alter investors attitudes to risk and move GBPCHF.

For more information at no cost or obligation please speak to me Jonathan Watson by emailing jmw@currences.co.uk

Thank you for reading and I look forward to hearing from you.

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Jonathan Watson

Jonathan Watson

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