The Greenback despite all the on goings and drama has managed to gain over a cent on Sterling today. Despite what many thought, would be a worst-case scenario in the general election there has been little to suggest panic buttons had been hit.
Trump in his first few days as President-elect has started back tracking on some issues whilst pressing forwards with others. The wall with Mexico is now just going to be a wire fence and Obama care will continue in some form.
Trump has held firm that he will be looking to remove around 3 million migrant criminals. The turnaround on the wall doesn’t really come as a surprise as many commentators were of the opinion that Trumps stance would change on the more extreme matters. Due to the back tracking the markets have not panicked as it appears the next President may not be completely mad.
The current market movements with Sterling strengthening against the Euro and not the US Dollar leads me to believe the Dollar is strong. Furthermore, the USD has gained against the Euro emphasising there is little market concerns at the moment.
The USD/EUR rate gaining several cents in the last few days suggests to me that the Euro is also starting to struggle and the Referendum in Italy could be heavily taking its toll. In the next few weeks if you do have any currency transactions I would consider moving if you’re happy with the rate. There is so much volatility currently that anything could change in a second.