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Earthport has launched a service, sendcash, which cuts the cost (to 20p, or 29 cents) and time (to two days) of cross-border payments in sterling, dollars, D-marks and French francs; it plans to add 11 more currencies.
The Caxton FX can be loaded with sterling, dollars or euros online or by phone; you get Caxton's exchange rate, which usually doesn't beat FairFX, and there's a 2.5% transaction fee.
Banks are asked what rate they expect to pay to borrow from each other for periods of time ranging from overnight to 12 months in currencies including sterling, dollars, euros, yen and Swiss francs.
Users pay 1.49 per postcard whether the purchase is made in sterling, dollars or euros, with ShoZu keeping 10%.
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The "00" is a reference to the sterling dollar rate – in this instance 1.6000.
"Cable" is sterling-dollar because of cable laid under the Atlantic ocean in 1858 to improve communications between the US and the UK.
Egypt and Tunisia, which were among the top 5 destinations last year, have been replaced by Florida, helped by a more favourable sterling-dollar exchange rate.
Williams noted that the sterling-dollar exchange rate was also crucial – as oil is traded in dollars a weaker pound can push prices in the UK up, as has happened since the Brexit vote in late June.
It was a huge leap forward and so dramatic that, even today, currency traders on the fast-paced foreign exchange market call the sterling-dollar exchange rate the "cable".
Skeoch said uncertainty around the Brexit referendum, which is expected to be held in June, had affected the sterling-dollar exchange rate much more than stock markets, pushing the rate lower to $1.42 on Friday.
In one example, it said traders at HSBC had colluded with traders from at least three other firms to attempt to drive the fix for the sterling-dollar rate lower.
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