Exchange Rate Now!

As we step into this new year, we left behind 2009 in what was a tumultous year where exchange rate is concerned. We stepped into year 2009 where oil prices declined steeply, before a sharp upturn occurred in the later part of the year. We stepped into 2009 where the world financial markets was reeling from bank collapse before stock market climbed in the later part of the year.

We stepped into year 2009 when the US Dollar was strengthening against all other major currencies and the US Dollar finished on a strong note.

Here are some of the possible predictions for year 2010.

1. US Dollar continue to appreciate – Year 2010 might be another good year for US Dollar, at least in the early part of the year. All the Detroit big 3, Dubai World and Banks will need more time to prove their stability. Therefore, it is expected for US Dollar to be the preference of parking of wealth.

2. South African Rand – Year 2010 promises to change the whole of South Africa with the arrival of the FIFA World Cup. With high expectations, the Rand would be a hopeful punt with forex traders and for the South African themselves, hoping that (more…)

With South Africa hosting the 2010 World Cup, it is no doubt in the travel plan of most tourist in football obsessed United Kingdom (which includes England, Scotland and Ireland). In fact, South Africa is already experiencing a boom in tourists from the United Kingdom now, one year before the World Cup even starts!

Besides the World Cup, there is another factor which may account for the rise in tourist numbers – The favourable exchange rate. The South African Rand is now trading at about 12 Rand to 1 Sterling Pound. This exchange rate is currently more favourable towards the Sterling Pounds compared to other major currencies like the Euro and US Dollar.

Some worries that the South African Rand will move to a downtrend against major global currencies (which include the Sterling Pound) once the World Cup concludes in 2010 (more…)