One of the country's leading economists, and Investment
Editor of the Financial Times, John Authers says, "That the
chances of an acute recession have receded significantly..."
Plus to the advantage of our economy and unstable currency
is benefited by the chances of a recession in the US
falling. Although the market isn't stable, varying
prominent economists have all suggested there are
suggestions of a slight improvement. In previous times
leading up to a recession there has been different signals.
In 2000 the ISM has fallen to 41 and a decade previous to
39.2.
Such credit squeezes on the banking systems affect our
currency exchange rates; and therefore any subsequent
overseas spending.
In business, such a poor exchange rate means that exports
become so much more expensive. However individual clients
on a personal level will find that there are two downfalls,
either of which is when we exchange our money into other
currencies.
For those who travel there is an upside and a downside. For
those choosing to travel to Europe will find a downside as
their purchase of holiday spends into Euros will be
drastically reduced if compared to previous years. Those
traveling to the US will discover the upside and their
pound will get them more dollars.
The other downside is for those individuals choosing this
year to re-locate into Europe, more especially those
countries that have adopted the euro. Imagine for one
moment those with a £100,000... In July of 2007 they
would get around 142,000 Euros; today however they would
only get 122,000 euros. That's a difference of 20,000
Euros. That of course could be the difference between 2nd
or a third bedroom, or a finca and a small apartment.
Currency Brokers have seen an upsurge in business, in a
natural way, as people find a need to work harder in
getting the best out of their money. Our High Street Banks,
although they do change large amounts of currency, cannot
compete with the Currency Broker. Lower overheads and fewer
staff help to trim off their costs.
Currency Brokers charge less than 1% as opposed to the
hefty 3 to 4% charged by the banks. This may not sound much
until you consider exchanging £100,000; that would be
a nice 'shareholders meeting bubbly session' costing almost
£4,000, if you catch my humour.
It is a tough world out there and rather than spend our
hard earned cash we need to look after it. If you were
buying a £200,000 property in Spain, the commission a
bank would charge could be the most expensive part of
buying the house. A consideration worth giving some time
and thought to...
Mr. P. Booker Senior Currency Expert and Columnist
----------------------------------------------------
Currency Broker | Currency Help and Advice
http://www.pounds-to-euros.com
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