The pound sterling has strengthened in mid-November against the euro and the dollar. In welcome news for Irish mushroom growers, the sterling rate has hit 86p for one euro. Volatility surrounding the U.S.A. election result, combined with European nervousness over the new president-elect’s future trade policies and with an upcoming referendum in Italy, the euro has weakened as the pound has firmed up slightly!
Mushroom growers can breathe a slight sigh of relief in the short term, but increased volatility and uncertainty are the watchwords on currency markets at the moment. We can expect more roller coaster movements in the months ahead.
The idea of hedging against currency upheavals is probably the only way to plan strategically ahead with any certainty.
