how is an exchange rate calculated? And what rate would be best for a currency order?

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Hi, for context, I’ll be in the UK in a couple of months and I need to order some GBP before I leave. The exchange rate right now is 1.2787 GBP/USD but I don’t understand what that means exactly. Does that mean the GBP is worth more? This rate seems higher than normal, is this a good time to exchange? Or do I have it opposite and I should wait?

In: Economics

6 Answers

Anonymous 0 Comments

Nobody can predict how the exchange rate will shift over the next couple of months, and you’re likely not talking about that much money in the scheme of things… a few GBP unless you’re exchanging tens of thousands of dollars. You really don’t want to exchange too much money before you go for security purposes and because you can typically use credit/debit cards.

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