During the past few weeks, component prices, especially in the graphics sector, have been extremely unpredictable for UK customers. This is due to a number of factors including the weaker Sterling rate caused by the Brexit vote, and low stock levels. If you’re unaware, UK technology retailers purchase stock per quarter in USD while customers pay for each item using GBP. This means the exchange rate is absolutely essential to maintaining competitive prices. Unfortunately, the new Sterling to USD rate which fluctuates around 1.31 is a major drop compared to the pre-Brexit rate and companies are increasing prices to offset the profit loss. Already, Dell and HP have increased prices in the UK by 10%. To be perfectly clear, economic confidence within the next few months could appear and bring the GBP conversion rate to better levels.
However, the current situation isn’t ideal and according to NextPowerUp, ASUS will instigate a 9% price hike starting in October. This is terrible news for consumers wanting a new motherboard, graphics card, monitor, gaming laptop and other key areas ASUS have become a household name in. Whether other manufacturers follow suit remains to be seen but it’s clear that the poor exchange rate will leave consumers paying extra and this could be the difference between buying the product you want and having to settle for a cheaper model.
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