Pure FX Logo arrow Reviews On Feefo Pure FX Logo Exemplary Service In-Depth Knowledge We're Jargon Free Same-Day Transfers Better Exchange Rates No Commission 0 Personal Transfers Business Transfers FCA Authorized Personal Service Trusted Brokers Get A Quote Register With Us Make A Transfer Seller Transfers Contract Definitions Read Our Top Tips What Influences Exchange Rates Glossary Frequently Asked Questions Contact Us

Pound Hits 3-Week High Versus US Dollar, as May Favours Soft Brexit

What's The Best Time to Exchange Currencies?Pound Hits 3-Week High Versus US Dollar, as May Favours Soft Brexit
Pound Hits 3-Week High Versus US Dollar, as May Favours Soft Brexit
Image credit: Maks Rebenok.

Welcome to Pure FX's latest update of the pound to US dollar interbank exchange rate.

This tells you when it's an excellent time to exchange pounds to US dollars, for your money transfer!

Sterling jumps versus the greenback! The pound to US dollar interbank exchange rate has hit 1.3326 today, its highest in 3 weeks, or since June 14th.

The pound has strengthened, because UK prime minister Theresa May has convinced her Cabinet to pursue a "soft" Brexit, at a meeting at Mrs. May's country residence Chequers.

Sterling has jumped, because Mrs. May's Cabinet has agreed to pursue a "free trade area for goods" with "ongoing harmonisation with EU rules on goods" in the new Brexit plan.

This has lifted the pound, first because Mrs. May's Cabinet agreement puts an end to weeks of disagreement, thus lifting the odds that the UK will achieve a favourable Brexit deal.

This has also boosted sterling, because Mrs. May's plan to stay in the EU's Single Market for goods will make it easier for UK businesses to export to Europe, thus lifting UK GDP too.

Following the prime minister's decision with her cabinet, Brexit secretary David Davis has resigned, yet financial markets remain upbeat about the UK's outlook for a fab Brexit deal!

US Dollar Falls, as US Wage Growth Remains Weak

What's more, the pound to US dollar interbank exchange rate has also strengthened, because US wage growth remains weak, according to official data last Friday.

The US dollar has lost out, because wages in America rose by just +2.7% in June year-on-year, said the US Department of Labor last week, below financial market forecasts for +2.8%.

This has weakened the greenback, first because this tells us that, even though the USA created a healthy +213,000 jobs last month, wage pressures in America remain low.

This has dragged down the buck, because when US wage growth stays low, US inflation remains weak too, thus cutting the odds that the Federal Reserve will lift interest rates faster.

"US wages did not increase so substantially, so there won’t be a rapid pickup in the pace of long-term interest rate hikes," says Daiwa Securities' Yukio Ishizuki, thus weighing on the US dollar.

As a result, the pound has reached this 3-week high versus the US dollar, and could continue to climb in July 2018!

Get A Free Pound to US Dollar Exchange Rate Quote

Get a free pound to US dollar exchange rate quote to get our best exchange rate, and find out how much you could save with Pure FX.

You’ll get an outstanding pound to US dollar exchange rate for your money transfer!

Please bear in mind, this article is Pure FX’s opinion only and does not constitute advice. Moreover, the exchange rates referred to in this article are the interbank rates, which are the rates at which banks and financial institutions buy and sell currency to each other. Therefore these exchange rates cannot be accessed by individuals or SMEs, and are not the same rates that Pure FX can offer. To get a free exchange rate quote, call us on +44 (0) 1494 671800, or email peter.lavelle@purefx.co.uk.

Get A Free Quote
I’d like to exchange...
GBP
EUR
Because I want to...
And I would like it...
Pure FX awarded Feefo Gold Trusted Merchant 2016PureFX's Product Rating on Feefo

What Our Clients Say

Read all the reviews at Feefo.com

Why Us

FCA Authorised

Directly authorised by the UK's Financial Conduct Authority, so your money is highly secure.

No Hidden Fees & 0% Commission

So you get our biggest possible saving when you exchange currencies.

Same Day Transfers

Receive your money in your destination bank account the same day you send it, for most mainstream currencies.

Outstanding Exchange Rates

Get bigger savings, with Pure FX's best exchange rate guaranteed!

Dedicated Personal Service

To guide you through the transfer process, and keep you up-to-date with the changing exchange rates.

Trusted Foreign Exchange Broker

Since we were established in 2006, we've transferred money for thousands of satisfied clients.

How It Works

  • Quote

    Use our form to get a free exchange rate quote, and find out how much you could save with Pure FX.
  • Register

    We'll be in touch to give you your exchange rate quote, ask you any further questions and tell you how the transfer process works.
  • Transfer

    From buying a property abroad, to making business transfers, or online selling - we have you covered.