GBP/EUR up as the week closes – Sterling gets a small lift

GBP/EUR exchange rates ended the week on a high as news throughout the week suggested that talks both within Britain and outside of it appear to be going well and progressing reasonably.

Any positive news on Brexit can give Sterling a lift, even if nothing has actually happened just yet the mere speculation of good news does appear to help the Pound.

Unemployment figures earlier in the week had led to a little Sterling weakness but the Pound fought back as the week  neared an end. Governor of the Bank of England Mark Carney remained fairly hawkish (or Positive) in his tone when discussing the U.K economy and the chance of interest rate hikes for the U.K in the coming months.

It is now expected that there may be an interest rate hike in the U.K as early as May, and should speculation of this continue then I would expect to see the Pound continue to rise in the coming weeks.

As mentioned above however Brexit news does still create the possibility of a slip should there be any negative release so this really is a market that you need to keep[ a very close eye on at all times.

If you are looking to buy any foreign currency with Sterling or should you need to bring a large sum of foreign currency back into Sterling then it is well worth getting in touch with me directly.

I can help you both in terms of timing your transfer, keeping you up to date with any spikes in the market and of course getting you the best rate when you come to book the deal out.

For a free, no obligation discussion on how I can help you with this important decision please feel free to email me (Daniel Wright) on djw@currencies.co.uk and I will be happy to get in touch with you personally to see how I can help.

Will the release of the Brexit plan result in a stronger Pound? (Joseph Wright)

The negotiations between the UK and EU regarding the Brexit have been heating up recently, and we’re shortly expected to know what the UK’s stance is.

Just yesterday UK Prime Minister, Theresa May held emergency talks with senior cabinet members behind closed doors. The talks took place at her country residence, Chequers and one MP told the press that she ‘played a blinder’. Within the next month we’re expected to know what the Brexit plans are so I think although the markets are quite calm at the moment, we could see a lot of movement for the Pound to Euro rate in the next month.

Next week Theresa May will also be giving a speech again outlining her stance on Brexit talks so far and plans moving forward.

Although economic data is once again having an effect on the Pounds value I think that politics is likely to be the main driver of GBP exchange rates in the current climate, which makes it harder to judge where the Pound will move next and when.

If you would like to be notified in the event of a major spike for the Pound in either direction, do feel free to register your interest with me as working on a trading floor allows us to react in the wake of a major move.

Later today there will be the release of EU Inflation data which could move the markets depending on how the figure comes out.

If you have a large currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency. A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Joseph Wright) on jxw@currencies.co.uk and I will endeavour to get back to you as soon as I can.

EU Parliament may provide the UK with privileged single market access following Brexit

Business Insider Report suggests there will be Single Market access for Britain

A recent report has stated that EU parliament is currently compiling a detailed resolution to call for more flexibility in relationship talks with the UK. The EU would like to put forward and negotiate an association agreement which would give Britain privileged market access and EU agency membership.

I am not a 100% on the legitimacy of this report as the market moves on rumour as well as fact and investors are yet to bite or possibly it is not common knowledge. If investors had bitten I would have expected substantial Sterling strength, possibly even breaking the current 1.15 mark on GBP/EUR. If the release does take place this weekend GBP/EUR could be in a very different position on Monday.

This would be a huge change in stance for Chief EU negotiator, Michel Barnier who has put forward a proposal similar to that of Canada’s free trade agreement.

It is uncertain how this would pan out however, considering that the Conservatives wish to be free of all European laws following Brexit.

Inflation and Average Wage Growth concerns

Average Wage Growth came in yesterday and it remained anchored at 1.5%. In order to have a healthy economy inflation and wage growth should be close to parity. This is far from the case at present. Despite this there is an 80% probability of a rate hike by the Bank of England (BOE) in May.

Personally I feel this would be the wrong move considering the fragility of the UK economy at present. Be aware, there is the strong possibility that a rate hike in May is already factored into current market levels. If this is the case do not expect significant Sterling strength should the hike take place. The danger is if it does not occur, I would expect heavy falls in Sterling value if this is the outcome.

During such unpredictable times you need an experienced broker on board if you wish to maximise your return. If you have a pending currency transfer let me know the details of your trade I will endeavor to assist. There is no obligation to trade by asking for my help, I will provide a free trading strategy to suit your individual needs.

If you do wish to try our service you can trade in the knowledge we are a no risk entity, as we do not speculate. Foreign Currency Direct PLC has been in business for over 16yrs and we are registered with the FCA. If you already use a provider I can perform a comparison within minutes and I am confident I will demonstrate a considerable saving. I can be contacted at dcj@currencies.co.uk.

Which direction will GBPEUR take next?

The pound is looking better supported against all currencies and this includes the Euro which it is still nudging some of the better rates in the last 6 months against. If you wish to buy Euros with pounds the good news for sterling is not enough, the Euro is very strong and Euro buyers need some weakness on the part of the Euro get a better rate.

This morning we have the latest UK GDP (Gross Domestic Product) figures which will give us some insight into the pace of growth for the UK economy at present. Overall impressions over the outlook on the GBPEUR rate really are mixed, with both currencies benefiting from improved economic data sets.

Politically, both countries are set on uncertain courses, the UK is struggling with Brexit and many Eurozone countries are feeling political pressures. The biggest concerns stem from the Italian election next weekend, there are a number of far-right and anti-EU and anti-Euro politicians in the running for the top jobs in government.

Despite concerns politically in the Eurozone there are probably greater concerns for the UK with the fears over the worst outlook on Brexit hindering the pound. Whilst sterling is stronger lately as we get some more positive news on what the final deal will be for the UK and the EU, we do still have a long way to go for the pound to really find its feet.

If you need to buy Euros with pounds we are only 2 cents off the best rates to buy since May last year, this is a very good point to note. With GBPEUR looking like it was headed to near parity or one for one, it is very encouraging to see the rates back at this level which whilst compared to overall levels in the last few years are still low, do represent a significant improvement from the lowest points.

If you need to buy or sell Euros and wish for any information on the best timing and appropriate strategies to maximise your deal, please speak to me Jonathan Watson by emailing jmw@currencies.co.uk to get a full overview of the upcoming events and strategy on the best rates of exchange.

 

 

GBP EUR Falls on Weaker Unemployment Data

The pound has slipped from the spike seen yesterday after UK unemployment surprised the markets with a weaker headline figure. Rates for GBP EUR are currently sitting at 1.1330 for the pair having fallen lower after the headline UK unemployment figure rose to 4.4% from 4.3%. Unemployment unexpectedly rose from in the last quarter and represents the sharpest increase in the headline figure for almost five years. Although unemployment is still extremely healthy it is still a sign that there the economy is seeing some small cracks emerging and the fear is that economic growth may start to falter. It also lends support to the view that the Bank of England may not be so keen to raise interest rates which it signalled last week.

The pound had see a good jump higher on the back of Brexit comments suggesting the EU would be prepared to look at an exclusive arrangement for single market access although any gains gave proven limited.

UK Gross Domestic product figures are released tomorrow morning and could create even more volatility for sterling exchange rates. Any drop in the numbers is likely to be seen as negative for the British economy and hence the price of sterling. The important numbers are released at 09:30 and any clients looking to buy Euros or sell Euros would be wise to be in touch around the event to avoid potential disappointment.

The Euro is also likely to see major volatility on the back of the ongoing German political situation. A vote by members of the Social Democratic party will be eagerly awaited and could see the Euro react if there is no agreement on the formation of the grand coalition.

To discuss how the pound is likely to be impacted by these events and how to try and maximise on the rates of exchange as they happen then please get in touch with me at jll@currencies.co.uk

Will the Brexit talks go well in March and the impact on GBPEUR exchange rates? (Tom Holian)

The Pound vs Euro has had a strong week so far after the news surrounding Brexit from Europe came out a little more positive than what we have seen recently.

The Pound jumped after rumours circulated that the EU is looking at preparing a document outlining more flexibility with the talks between the UK and the European Union.

With phase 2 of the Brexit negotiations due to start next month this came as welcome news and caused GBPEUR exchange rates to rise to the best rate to buy Euros in two weeks.

David Davis spoke yesterday in Vienna and his tone was also rather upbeat and he later tweeted that the UK will not be ‘plunged into a Mad Max style economy’ post Brexit.’ The tone coming from Europe recently has been a lot more friendly and I think if we have some further breakthroughs during next month the Pound could start to increase against a number of different currencies including vs the Euro.

Later this morning we have a big release for the UK with the latest set of Unemployment data as well as Average Earnings. Unemployment is due to come out to close to its lowest levels since records began over 40 years ago but wage growth is the real concern for the UK and the Pound as it is currently lagging behind inflation.

However, whatever happens with this release is likely to influence what the Bank of England does with monetary policy going forward so I think we could see a lot of movement on GBPEUR rates later on this morning.

If you would like to free quote when buying or selling Euros and would like to save money on exchange rates compared to using your own bank then contact me directly. Having worked in the foreign exchange industry for one of the UK’s leading currency brokers since 2003 I am confident of being able to save you money and help you with the timing of your transfer.

Feel free to email me directly with a brief description of your requirement and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

GBP/EUR Forecast – Sterling Spikes During Tuesday’s Trading (Matthew Vassallo)

Sterling has found plenty of support during Tuesday’s trading, gaining almost a cent against its EUR counterpart.

This positive move has ended days of stagnation, with the Pound struggling to make much of an impact over the past week.

GBP/EUR rates hit a high of 1.1353 this afternoon, with investor confidence seemingly boosted by a report released earlier today. It indicated that the EU Parliament is set to push for Britain to have “privileged” single market access, giving the UK more flexibility and thus softening our upcoming exit.

Whilst these reports have not been substantiated, they seem to have provided enough substance to act as a potential catalyst for Sterling’s improvement today.

If true they would also go against the EU’s chief Brexit negotiator Michel Barnier, who has fought against any type of open access for Britain once it has removed itself from the EU bloc.

The current market is proving increasingly difficult to dissect, with GBP/EUR rates moving off rumours more than facts. This makes predicting or identifying any trends more challenging for investors and clients alike. I do believe we continue to operate in a short-term opportunist market and as such any clients with an upcoming Sterling currency transfer should be keeping a watchful eye on the current developments.

Looking ahead and tomorrow we have the latest UK Unemployment figures, which against have the propensity to be a key market shifter. With Unemployment predicted to remain unchanged at 4.3%, expect additional volatility on GBP/EUR rates should the official figure be released outside of this remit.

If you have an upcoming GBP or EUR currency transfer to make, you can contact me directly on 01494 787 478. We can help guide you through this turbulent market and as a company we have over eighteen years’ experience, in helping our clients achieve the very best exchange rates on any given market.

Our award inning rates can be accessed very easily over the phone and I can keep you posted with key market developments ahead of any prospective exchange you need to make.

Feel free to email me directly on mtv@currencies.co.uk to find out all the options available to you ahead of your currency transfer.

Will today’s speech give GBP/EUR direction? (Joseph Wright)

The Pound to Euro exchange rate has been hovering around the 1.13 mark over the past 24 hours, but a key speech in Austria this morning could offer the pair some direction moving forward.

At 9.30am this morning David Davis, the Brexit Secretary will give a speech on Brexit where he is expected to say ‘Britain won’t turn into a Mad Max-style dystopia’. He’s also expected to say that Britain won’t abandon workers’ rights and environmental concerns after Brexit.

In the build up to this the Pound has softened against some major currency pairs but it’s holding its ground against the Euro so far, leading me to believe that some bullish comments from David Davis are likely to result in GBP/EUR breaching 1.13.

Aside from this morning I think the next month could be busy for GBP exchange rates as within the next month we’re likely to know the UK’s stance on the Brexit transitional deal. Also the Chancellor of the Exchequer, Philip Hammond will announce the latest Spring statement so there are plenty of events that could potentially move the markets.

If you would like to be kept updated in the event of a major market move for GBP/EUR, do feel free to register your interest with me.

If you have a large currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency. A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Joseph Wright) on jxw@currencies.co.uk and I will endeavour to get back to you as soon as I can.

Sterling Euro exchange rates have a fairly flat week – Retail Sales to finish off the week for U.K data this morning

The week so far has been fairly flat for GBP/EUR exchange rates, seen minimal movement from the high to the low point over the course of the trading week.

We have virtually been stuck in a range of 1.12 – 1.13 with very little volatility due to no major news from either side for investors and speculators to feed off of.

Retail Sales figures are due out this morning for the U.K and this may be a release that could change the flat trend, but this data would need to be fairly off the mark from analysts expectations to have a large impact.

Theresa May is due to be meeting with Angela Merkel today so be wary of any further comments towards brexit and future plans between the two nations, as anything positive may also give the pound a lift as the week comes to an end.

Next week we have U.K unemployment figures on Wednesday morning, with average earnings figures being one of the big points in focus, as this figure could bring forward when the Bank Of England plan to next raise interest rates. Average earnings had been quite a way from inflation figures which is one thing that had held the BOE back from rushing into another hike, however at last weeks interest rate meeting they did comment that another rate hike could be coming.

If average earnings figures have gone up again then expect Sterling strength, as this may lead to betting that a rate hike in May is on the cards for the U.K which would be seen as positive for Sterling exchange rates.

If you need to exchange Pounds into Euros or indeed do the reverse then it would be well worth you getting in touch with me directly, you can contact me by email on djw@currencies.co.uk – You can also see my profile on our company website here:  http://www.currencies.co.uk/about-us/team/daniel-wright/  With over ten years of experience in this sector I can not only secure you the very best rates of exchange but also can give you the very highest level of customer service too.

 

What to expect for GBPEUR exchange rates moving forward?

In recent weeks GBPEUR exchange rates have come under pressure once more due to the developments surrounding Brexit. Head EU negotiator Michel Barnier told the press last week that the transitional talks have broken down and if the UK and EU cannot come to an agreement then the likelihood is there wont be a transition.

No suprises the uncertainty sent the pound tumbling from the 1.14 highs and GBPEUR exchange rates are now floating in the 1.12s. Good news for any client selling euros to buy pounds.

Looking further ahead UK Prime Minister Thersa May is set to address the public on Saturday. This speech will be watched closely by any person involved with the pound and Conservative MPs. It was only last weekend Pro European Conservative MP Anna Soubry warned that MPs could rebel against the PM if she decides to take a hard Brexit approach.

Personally I expect the transitional talks to continue to put pressure on the pound and exchange rates could fall back towards 1.10 in the upcoming 4 weeks. However, I expect the deal will be reached between the UK and EU which will pave the way for trades talks and therefore GBPEUR will improve back to the highs we experience earlier this month. If my predictions materialise then there may be opportunity for both euro buyers and sellers.

If you reading this website for the first time as you need to convert GBPEUR, feel free to email me with the reason for the transfer (company goods, property purchase) and timescales you are working to and I will respond with my forecast and the options available to you drl@currencies.co.uk. Alternatively if you would like to discuss your requirements over the phone call 01494-787478 and ask to be put through to Dayle Littlejohn.

If you are already using a brokerage and would like to a free quote email me with the exact figures and I will reply with our live price. This will take you a few minutes and in the past I have saved clients thousands.

Common clients I help on a daily basis are Sole traders, MD or FD of a company, property buyers and sellers. If you are one of the three and are currently using the bank to transfer your currency you need to be made aware that you could be saving money!

 

Brexit Talks continue to dictate Sterling levels (Daniel Johnson)

Points of Contention could lengthen Brexit talks

Brexit talks will be the main factor in Sterling value for the foreseeable future. The European Council has said that Brexit talks between Britain and the EU have moved on sufficiently to begin the new phase of negotiations.
A definitive withdrawal arrangement must include the terms in the transition stage and also a policy statement setting out the framework for the future trade relationship between the EU and Britain.
The EU would like a framework similar to the trade agreement with Canada which also goes along with Britain’s desire to exit the single market. The UK would also like to have the services sector included into any trade agreement.

There are points of contention, however. Michel Barnier, Chief EU Negotiator has warned that a transitional deal is “not a given”. Barnier also said that the EU and Britain are struggling to agree on several points of the deal. The March deadline is in place to provide much needed clarity to the public.
The main issues are the lifetime rights of residency to EU citizens who arrive in the UK following Brexit , but before 2021 and having to agree to new laws from Brussels with the UK having to accept these laws with no power to negotiate.
I am not of the opinion talks will run through smoothly and this has the potential to create weakness for the Pound. We may see short term gains when Theresa May speaks with Angela Merkel later today. Merkel has been forthcoming recently in regards to getting a deal in place with the UK.

If you have a currency requirement I would be happy to assist. You need to have an experienced broker on board in order to take advantage of rates when a brief spike occurs, especially in the current climate. If you have a currency provider already in place I am prepared to perform a comparison against them. It will take minutes and could potentially save you hundreds or even thousands of pounds. I can be contacted at dcj@currencies.co.uk.

 

Where next for GBPEUR exchange rates?

The market is looking more favourable for the pound lately but unfortunately for Euro buyers with sterling, this is not being reflected on the rates with better higher levels. This is because the Euro is stronger too, today we reconfirmed that Eurozone growth numbers have hit the best in a decade.

General expectations are for the pound to continue to perform better, particularly on the likelihood of an interest rate hike in May for the UK. The real question is will it be enough to outperform the expectations on the Euro. Improving economic conditions are linked to the global economy recovering which will see potentially both the UK and Eurozone enjoying better numbers.

Big news left this week is the UK’s Retail Sales figures on Friday which will highlight the performance of consumer behaviour in the UK, this is a key driver on the UK economy and could see some movement on GBPEUR exchange rates. If you are considering a transfer buying or selling the pound against the Euro then the Euro will continue to be an expensive currency to be betting against!

We offer a range of options to secure your currency that will ensure you limit your exposure to these volatile markets which can change suddenly and without warning. Keeping in touch with the latest news is the best way to mitigate the uncertainty, we offer a specialist system to update our clients on the news that will alter their rates.

For more information at no cost or obligation please speak to me Jonathan Watson by emailing jmw@currencies.co.uk

Thank you for reading and I look forward to hearing from you.

GBP EUR Rates ahead of Boris Johnson Valentines Day Speech

The pound could see considerable volatility against the Euro later today following an expected valentines day speech from Foreign Secretary Boris Johnson. Politics and Brexit continues to be the biggest driver for sterling exchange rates and any developments here are likely to see market reaction for GBP EUR. The speech which is anticipated to unite remain and leave supporters may give some clues as to the future direction of Brexit. Boris Johnson when he joined the Leave side of the argument back in 2016 resulted in a drop in the price of sterling by around 2% which highlights there could be a considerable market reaction today.

UK inflation data arrived slightly higher than expected yesterday at 3% compare to the expected 2.9% which should in theory help support the pound. The Bank of England have hinted strongly that there may have to be an interest rate quite soon and the markets are beginning to price in such a hike for May.

EU GDP data from Germany was released this morning which arrived at a healthy 2.3% which was above expectation of 2.2% helping support the Euro in morning trade. The official figures for the EU as a whole will be released later this morning at 10am and a good number should help reinforce Euro exchange rates today.

German politics are also set to be the main focus after it has been reported that the Social Democrat Party leader Martin Schulz has resigned as party leader putting into question the future of the proposed coalition government. UK Prime Minister Theresa may will also be in Munich on Saturday meeting leaders where she is set to make a speech about security and cooperation between Britain and the EU. Once again any clues on the future path of Brexit will be eagerly awaited by the markets.

To discuss how these events are likely to impact on your Euro requirement then please get in touch with me at jll@currencies.co.uk

UK Inflation data causes the Pound to fall against the Euro (Tom Holian)

The Pound has fallen against the Euro since the start of the week which has surprised some analysts after UK inflation data came out higher than expected at 3% in January.

The expectation was for 2.9% for last month so the rise in theory should have strengthened the Pound as it provides further support for an interest rate hike for the UK, which at the moment is 75% priced in for May.

However, one of the key concerns for the UK is that with signs that economic growth may not be as positive as recently suggested this could mean that an interest rate hike may not be coming as soon as some may think.

Looking closer at the inflation figures we have seen oil prices fall since the beginning of the year and as many goods were priced last year when we saw a drop in the value of Sterling this period may be coming to an end so we should expect inflation to start falling soon.

The over-riding factor for the UK is currently the uncertainty surrounding what is currently happening with the topic of Brexit and with phase 2 of the negotiations due to start in March this could cause a lot of volatility for Sterling exchange rates in the weeks ahead.

Tomorrow morning German inflation data is due out as well as Eurozone GDP so expect to see quite a lot of movement for GBPEUR exchange rates in the morning.

If you have a need to make a currency transfer in the near future then feel free to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency compared to your bank or another currency broker.

Even a small improvement in the exchange rates can make a big difference so feel free to to email me and you may find you could save yourself hundreds if not thousands of Pounds. You can email me (Tom Holian) on teh@currencies.co.uk and I will respond to you as soon as I can.

 

GBP/EUR Forecast – Boris Johnson’s Speech Could Impact Sterling’s Value (Matthew Vassallo)

Sterling has struggled to make an impact against the EUR during the early part of the trading week, with the single currency finding plenty of support around 1.13.

The Pound had threatened to make another move last week following some positive comments last week from the Bank of England (BoE).

BoE governor Mark Carney talked up the prospect of further interest rate hikes if the UK economy stayed on the same track, citing rising inflation as one of the key reasons they could look hike rates.

Whilst he was also fairly positive about the UK economy as a whole, he did draw attention to the fact any major advances were being handicapped by the uncertainty surrounding Brexit. The UK has also gone form the fastest growing economy in the G7 to the slowest, news which is hardly likely to boost investor confidence in the short-term.

This is why it seems that every time the Pound takes a step forward it faces a huge amount of resistance and whilst it has found a foothold against the EUR in recent weeks, any sustainable increase up to or through 1.15, looks unlikely in the short-term.

Looking ahead and there is a host UK inflation data today, which based on last month’s increase does not necessarily bode well for those clients hoping it will have  a positive impact on Sterling’s value.

Tomorrow could also be key with UK Foreign Secretary Boris Johnson speaking on Brexit and his comments are likely to have an impact on the currency markets.

If you have an upcoming GBP or EUR currency transfer to make, you can contact me directly on 01494 787 478. We can help guide you through this turbulent market and as a company we have over eighteen years’ experience, in helping our clients achieve the very best exchange rates on any given market.

Our award inning rates can be accessed very easily over the phone and I can keep you posted with key market developments ahead of any prospective exchange you need to make.

Feel free to email me directly on mtv@currencies.co.uk to find out all the options available to you ahead of your currency transfer.

GBP to EUR rate begins the week flat, will this week bring direction for the pair? (Joseph Wright)

After a very busy week for Sterling exchange rates last week, the Pound has begun the week in a quiet fashion with GBP/EUR trading exactly flat on the day at the time of writing.

Those watching the GBP/EUR rate should be aware that the pair reached the top end of their medium term trend last week after hitting 1.1450, and that it’s not unusual to see the pair dip shortly after hitting the 1.14/1.15’s as many within the markets don’t think the pair can breach this mark and push on into the later teens.

The lower end of the trend since the summer of last year is well below 1.10 at the 1.07/1.08 mark, so the pair are still trading towards the top end of the medium term trend.

It’s Brexit related news that’s continuing to be the main driver of GBP exchange rate movements at the moment. Last week’s spike up to 1.1450 was a result of bullish comments from the Bank of England so those hoping for another opportunity to trade around those levels should pay attention to comments from the BoE. Do feel free to register your interest with me if you wish to be notified in the wake of a big move for GBP exchange rates.

If you have a large currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency. A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Joseph Wright) on jxw@currencies.co.uk and I will endeavour to get back to you as soon as I can.

Super Thursday results in a stronger Pound, where to now for the GBP/EUR rate? (Joseph Wright)

The Pound was boosted across the board of major currency pairs yesterday afternoon after the Bank of England delivered a far more bullish statement than many had expected.

Although interest rates were held at 0.5% there was talk of the stronger than expected global economy likely to result in a more aggressive approach from the BoE as soon as this year.

Financial markets are now pricing an interest rate hike into the Pounds value and it’s predicted that this could happen as soon as May.

There have also been forecasts of a higher GBP/EUR rate this year with TD Securities predicting that the rate will hit 1.1627 in the first quarter of this year. The rate went over 1.14 yesterday afternoon although there has been a bout of profit taking since as the pair have since dropped below this mark.

In such a sensitive political environment the rates can move quite dramatically so if you’re planning on making a currency exchange involving the pair, it’s worth making me aware of your plans so that if the rate spikes, I can keep you updated.

Those hoping for a stronger Pound should be aware that if there has less bullish comments from the BoE regarding monetary policy, the Pound is likely to lose a lot of the gains from yesterday very quickly.

If you have a large currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency. A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Joseph Wright) on jxw@currencies.co.uk and I will endeavour to get back to you as soon as I can.

 

Major swings for GBPEUR exchanges rates

Today GBPEUR exchange rates have been up and down like a roller-coaster. At midday the Bank of England released their last interest rate decision which provided a fantastic window for clients that were purchasing euros. GBPEUR central levels of exchagne reached 1.1450 as the Bank of England hinted an interest rate hike is on the horizon.

The reason for the change in stance comes down to the quarterly inflation report suggesting wage growth numbers which improved last month, will continue to improve throughout 2018. Furthermore the Bank of England announced a recent survey showed private sector companies believe they will be paying their staff an additional 3.1% by this time next year.

Also in the inflation report, the Bank of England are suggesting that the worrying inflation levels will continue to decline back towards the 2% target. Their reasoning is that they believe the pound will receive a boost throughout the year, making goods and services cheaper followed by at least 1 interest rate hike within the year. Mark Carney the Governor of the Bank of England also helped the value of the pound by suggesting the jobs market will remain strong with unemployment remaining at a four decade low.

However investors have sold off the pound this afternoon looking for higher returns, which has meant the pound has fallen back below 1.14.

If you reading this website for the first time as you need to convert GBPEUR, feel free to email me with the reason for the transfer (company goods, property purchase) and timescales you are working to and I will respond with my forecast and the options available to you drl@currencies.co.uk. Alternatively if you would like to discuss your requirements over the phone call 01494-787478 Monday morning and ask to be put through to Dayle Littlejohn.

If you are already using a brokerage and would like to a free quote email me with the exact figures and I will reply with our live price. This will take you a few minutes and in the past I have saved clients thousands.

Bank of England interest rate decision today – Important day for GBP/EUR exchange rates

As we progress through a fairly volatile week in the financial world, we have an interesting day ahead for those clients looking to buy or sell Sterling as we have the release of the Bank of England interest rate decision, the BOE minutes from the meeting, quarterly inflation report and the monetary policy summary, All of these are due out at midday.

These are highly important for a number of reasons, although there is very little chance of any change in interest rates today, there may be a hint as to when we may expect to see a change in the future. Reuters have suggested this morning that they feel that the Bank of England may be looking to raise rates in the near future due to better than expected growth figures, outpacing forecasts in the build up to Brexit.

Any hint of a closer rate hike than had been expected may give the Pound a lift this afternoon. An interest rate hike is generally seen as positive for a currency and a cut in interest rates is seen as negative, and even the mere speculation of interest rate movement can move the market quite considerably. As an example, bank in November when the BOE actually moved to raise rates we saw a 1.5% rise for Sterling against the Euro which would achieve €3,400 more on a £200,000 exchange into Euros.

If you have a pending exchange to make and you are in the position to move then it may be prudent to make us aware here so that we can keep you fully up to date with the action and highlight any potential opportunities that may arise.

Not only do we offer up to date market information for our readers but we can actually help you with any currency exchanges too, with top foreign exchange rates and a smooth and efficient service too. Feel free to contact me (Daniel Wright) directly on djw@currencies.co.uk and I will be more than happy to help you personally or to get you a live quote.

Brexit talks dictate GBP/EUR levels (Daniel Johnson)

Davis and Barnier loggerheads

We have seen GBP/EUR fall following poor economic data releases from the UK and also negative comments from Michel Barnier in regards to Brexit negotiations. We have seen since Stelring rally back to 1.13 in this afternoons trading.

GBP/EUR will be largely dictated by the progress of phase two Brexit talks. David Davis, the UK chief negotiator and EU chief negotiator, Michel Barnier are at loggerheads. Davis has accused EU services of advising UK businesses to leave the UK or risk losing their contracts. This does not sit well with the UK negotiation team considering the UK is still a member of the EU. Barnier could be accused of playing hard ball in an attempt to warn off other members of the EU following in the UK’s foot steps and exiting the bloc.

Despite the uncertainty surrounding Brexit talks I am not of the opinion we will see huge falls in Sterlng value. The market moves on rumour aswell as fact and the level of uncertainty surrounding Brexit at present makes me think it does not have much room for further falls. I would be surpised to see GBP/EUR fall below 1.11 short term. If you a Euro seller I would not be hanging on for small gains.

If you are buying Euros short to medium term I would not have high expectations. The highest GBP/EUR has been in nine months is 1.15 and it has only been available for very small windows of opportunity. Considering the current situation, if the market hits above 1.14 I would consider performing my trade.

If you have a currency requirement I would be happy to assist. If you wish to maximise your return it is important to be in touch with an experienced broker. If you let me know the details of your trade I will endeavour to produce a trading strategy to suit your needs. If you have a currency provider in place I am willing to perform a live comparison and I am confident I will be able to demonstrate a considerable saving. It will only take a couple of minuites and could be well worth your while.
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