Sterling forecast to fall to parity against the dollar - BBC
 

I know some people ask about when to purchase their dollars - now could be a good time!

https://www.bbc.co.uk/news/business-49015116

"If people are waiting to buy at a better rate I don't think that's going to happen," Mr Hickman said.

If there is a no-deal Brexit then he thinks the pound could go lower. He points out that some in the financial markets think it could hit parity against the dollar, meaning tourists would receive just £1 for each dollar they exchange.
At the moment the tourist rate for the pound against the dollar is $1.2127. That's down 5% on this time last year, according to the Post Office.

That rate isn't quite correct. The Mastercard rate is 1.251692 and high street rate is 1.2336.

Don't disagree the rate is fragile and could easily tank though.

s

Remember the BBC and the Bank of England have been harbingers of doom ever since the referendum campaign. Nobody yet knows what the currency will do because we don’t know what trade will do after we leave If we do. Part of the Dollar/ Pound issue is that the dollar has strengthened surprisingly under Trump but that may not be consistent.

Perhaps you would prefer to read the same news on the Bloomberg, ForeLive, Telegraph, Guardian websites instead:

https://www.bloomberg.com/news/artic...no-deal-brexit
https://www.forexlive.com/news/!/the...rexit-20190717
https://www.telegraph.co.uk/business...nflation-data/
https://www.theguardian.com/business...-business-live

Note that the quote is from Morgan Stanley, not the BBC nor the Bank of England. However, they do use the word "could" not "will" - as does the original post. They say, "Should [a harder Brexit] materialize, pound-dollar could fall into the $1.00-$1.10 range.”


As the OP and article say, it's the tourist rate offered by the Post Office. See here:

https://www.postoffice.co.uk/travel-...-exchange-rate

Looking at the tourist dollar rates shown here on the DIBB, most of them are around the $1.215 (ish) range.

Everybody said the pound would drop following a leave vote, which is exactly what it did. It wasn't project fear, it was reality. The pound has also dropped against the Euro etc, so it is not a strong dollar causing it.

I fully expect further drops in the event of no-deal, although it's possible the markets have already priced this in to a degree now, hence the lower value we have now.

I wonder when people will accept that there was more reality to 'Project Fear' than they expected... ?

This is a right pain for me and my DVC contracts!

It didn't go through the floor on the vote because the UK hadn't left at that point , secondly Mark Carney instigated procedures to prevent utter chaos.
If the UK crashes out in October (and I really really doubt it ...Boris and Hunt are saying anything to woo the party faithful) its going below parity .
In fact that will be the least of the UK's problems.

Many won't... they will still bleat on that it was worth it for 'control ' and blue passports.
Some are really in for a rough awakening . I feel very sorry for those who now have their lives hanging in the balance over those who swallowed all the false crap spouted by Farage ( who wasted zero time getting his kids citizenship sorted in Germany and still happily picks up his huge MEP salary ).
The man who said the break up of the union will be sad but worth it for Brexit.

Cold place in hell awaits some.

I got caught out yesterday. A couple of months ago I thought I wouldn’t buy any $ as I thought the rate was low and it would increase. I had to buy $ yesterday as time had run out and I got 1.18!
Got Revolut too but again I didn’t load any on a few months ago 😩

The same Farage who thinks the UK needs to move to a US-style insurance-based healthcare system. Wonder why that wasn't put on the side of a bus...