Monthly Archives: January 2015

Sterling Euro Rates beginning to fall (Tom Holian)

Sterling Euro exchange rates have begun to fall since yesterday afternoon following a recent 7 year high for the Pound against the single currency.

The ECB’s decision to introduce EUR1.1trillion into the zone weakened the single currency and coupled with the uncertainty surrounding the Greek elections last week this period for currency has been extremely volatile.

However, as Sterling exchange rates have been strong for a few weeks if they remain this high they will ultimately have a detrimental effect on the British economy as it means British exports become less competitive and less money comes into the UK.

Therefore, there is a strong case to argue why Sterling may begin to fall in the short term.

If you have a currency transfer to make and want to save money on exchange rates compared to using your bank then contact me directly for a free quote. Tom Holian teh@currencies.co.uk

 

 

Volatility on GBP/EUR Exchange Rates Continues (Matthew Vassallo)

The recent volatility on GBP/EUR exchange rates looks set to continue into next week, with a host of key data releases on the horizon. Sterling hit a fresh 7 year high this week and although the momentum is clearly with the Pound, I do feel we are seeing it reach a peak against the EUR.

The Bank of England’s (BoE) members are now unanimous in their vote against raising UK interest rates and I feel this be utilised to try and control the Pound’s value in the short-term.

Looking ahead to next week and Monday’s Eurozone unemployment rate & Manufacturing data are likely to be key, along with Tuesdays UK Construction data. However, the two releases likely to dominate headlines are Wednesdays Eurozone Retail Sales figures and Thursdays BoE interest rate decision and monetary policy statements. With so much focus on the Eurozone at present the UK economy has been overlooked but any slowdown here could cause the Pound to fall away from the recent highs.

If you have an upcoming currency requirement and would like to be kept up to date with all the latest market movements, or simply wish to compare our award winning exchange rates with your current provider, then please feel free to contact me directly on mtv@currencies.co.uk

Exchange Rate Forecast – When to BUY or Sell Euros (Andrew Bromley)

Following the three seismic moves in the Eurozone over the last fortnight (Swiss National Bank policy change, Eurozone Quantitative Easing and the Greek Election), the Euro is on incredibly unstable footing.

When the Swiss National Bank (SNB) removed their EUR – CHF trading peg and reduced their deposit rate, the world was in a state of shock. The move was a profound step away from the Eurozone and was a key indicator to the next major market event – Eurozone Quantitative Easing (QE). The Eurozone QE program indicated that the Eurozone Central Bank (ECB) has tried all other methods to save the falling single currency and has turned to the last resort. The final key market mover has been the General Elections in Greece. The Eurosceptic Syriza party have won a majority and seek the final piece to their parliamentary jigsaw. There is a real fear that Syriza will look to default on the huge bailout provided by the ECB and IMF (International Monetary Fund) , as Syriza feel that they speak for the Greek masses voicing anti extreme austerity feelings.

I personally don’t feel that we’ve seen the end of the Euro decline, as the Greeks could still scare the ECB with bailout movements. I also don’t feel that the Swiss have settled their currency situation, so feel there is an impact to be felt on the Euro further. Therefore if I held Euros, I’d look to sell sooner rather than later. If I were buying Euros (say for a property purchase etc), I’d look to take advantage of rates in the 1.33 – 1.34 region. There are options to take advantage of these spikes that are free and accessable (Limit Orders), only through a currency broker.

If you have a currency requirement, please feel free to drop me a line to discuss (including to discuss Limit Orders)  – 01494 787 478 – AJB@currencies.co.uk

GBPEUR forecast this week – GBPEUR at 8 year high

GBPEUR rates have continued to climb and now sit this week close to a 8 year high once more. This is something which I expect to continue to see in the next future as the uncertainty coming from Europe continues to weaken the single currency. The Greek politics and the outright win of the far left party have put further demand to get out of the single currency. The only stopping point was that they failed to get enough votes to run the country on their own and will now need to form some sort of coalition. Once they have however expect further gains for GBPEUR buyers. The wider fall out of this is that if they manage to negotiate their budget cuts once more expect the list of others behind them to be a big one.

Longer term, if you are perhaps agreeing on the sale of a property in Europe there is some more hopeful news. In 100 days the election comes around in the UK. In a similar way that euro weakens has been seen due to the lack of clarity, expect a similar impact on the value of the Pound in the run up to the election. Buyers of the single currency however that are completing in the months ahead may be wise in moving sooner rather than later.

For more information on your choices and access to the award winning exchange rates on offer here please get in contact. Email myself directly at hse@currencies.co.uk for a personal response but simply put, if we could not save you money we would not be in business.

UK GDP Figures Released Today (Joshua Privett)

With all the talk in the news about weakness in the Eurozone many have forgotten to look inwards to see how our performance will impact the strength of Sterling against the Eurozone. Last week, the unanimous decision by the Bank of England to delay the rise of interest rates caused rates to move backwards from recent trends. Though this news was quickly swallowed by polling data showing the anti-austerity Greek Party Syriza with a clear majority, it shows that the rates can still go the other way off the back off poor data, even in this climate.

Thus for those looking to sell Euros, today could be a golden opportunity off the back of this data which is expected to show cause slight Sterling weakness.

Email me on jjp@currencies.co.uk for more information pertinent to you, or alternatively call into our trading floor and ask for Joshua.

 

Sterling rises against the Euro 7 year highs (Tom Holian)

Sterling Euro exchange rates have hit their highest levels since Februrary 2008 as the ECB announced their QE programme aimed at stimulating the economy as well as protecting against deflation.

The ECB has announced plans of EUR60bn per month until September 2016 which saw Sterling strengthen by as much as 5 cents from the highs to lows during the course of the week.

Eurozone retail sales are published on Monday which could see a small fightback for the single currency and UK GDP is published on Tuesday.

Expectations are for 2.6% so anything different could cause volatility for Sterling vs Euro exchange rates.

If you have a currency transfer to make and want to save money on exchange rates compared to using your bank then contact me directly for a free quote. Tom Holian teh@currencies.co.uk

 

 

GBP/EUR at 7 Year High! (Matthew Vassallo)

GBP/EUR rates have spiked back to a 7 year high during Thursday’s trading. This move came off the back of the European Central Bank (ECB) decision to inject at least 1.1 trillion EUR into the Eurozone economy and this scheme will run until at least September 2016. The ECB will buy bonds worth up to 60 billion EUR per month, in order to counter deflation inside the Eurozone.

Only time will tell whether these measures are enough to help the huge economic recover required but it is certainly seen as a positive step by the majority. GBP/EUR rates spiked through 1.32 at today’s high, providing the best levels for EUR buyers in the last 7 years.

If you have an upcoming currency requirement and would like to be kept up to date with all the latest market movements, or simply wish to compare our award winning exchange rates with your current provider, then please feel free to contact me directly on mtv@currencies.co.uk

GBP-EUR Forecast – BofE minutes Tomorrow (Joshua Privett)

The Bank of England tomorrow shall release the minutes from their earlier meeting this month tomorrow. This will give the average observer an inside view into the minds of those who’s view of the state of our economy manifests as physical policy. Essentially these are the decision makers and this is what they are thinking.

The announcement on Thursday by the European Central bank will dominate the news cycle this week. After the massive movement caused by the Swiss Franc last week, it seems everything is priced in ahead of the official announcement of Quantitative Easing being introduced into the Eurozone, the only question now is the amount and timescale, which is unlikely to affect the market too much.

What may cause movement this week for Sterling-Euro exchange rates are the minutes as discussed. Two problems present the members voting on exchange rates – the state of our recovery and the state of the Eurozone, our biggest trading partner. Recently it was announced that the UK recorded record low inflation figures, and are likely to announce poor retail sales figures at the end of the week. Furthermore, because the state of our recovery seems to be in question now, we cannot allow our currency to steam too far ahead of the Euro, otherwise our service and export sectors will be too expensive for them to utilise, endangering our recovery further.

As such we expect the interest rate decision to be delayed tomorrow, and may be until 2016, this will devalue Sterling on the market and move it away from the current 7 year highs we have been enjoying since last Thursday.

I would recommend calling into our trading floor before 9:30am tomorrow to take advantage of the current rates risk-free, or soon afterwards to avoid market exposure. The number is 01494 725353, and ask for Joshua when you do so. We can also peg rates for up to 12 months so you do not have to ‘wait-and-see’ what happens on the currency markets, as with the election on the horizon, these rates now are statistically likely to be the best available in 2015!

Alternatively, email me on jjp@currencies.co.uk and we can discuss future requirements in more detail and schedule some time for a more comprehensive discussion.

GBPEUR this week – When to buy

GBPEUR rates are preparing for the large event on Thursday but be aware that normal economic events could assist anyone with Sterling to sell this week. On Wednesday we have a number of UK data coming out around the employment figures. These are generally expected to show a increase as these are for the Christmas period with the additional demand it creates. As a result there is a strong argument to say that levels will increase again tomorrow on this news.  Thursday remains the biggest day with the expected news from Europe but with so many variables and potential outcomes this in my mind is a total coin toes or dice roll. If you have Sterling to sell as a result I would personally be moving tomorrow morning to avoid any disappointment and take the multi-year highs we are seeing at the moment. For example over the last 15 days GBPEUR rates have climbed by over 4%.

For a personally view on your situation feel free to get in contact with myself via email at hse@currencies.co.uk

GBPEUR rises over 1.31!

GBPEUR rates have risen over 1.31 which is excellent news for anyone buying Euros. If you need to buy or sell Euros making some careful plans now is very much worthwhile as by leaving it until the last minute you could end up very disappointed. The outlook is not favourable for the Euro but equally we could see some news which causes the Euro to strengthen. Much will depend on how the ECB performs next week.

For more information please contact me Jonathan on jmw@currencies.co.uk

Exchange Rate Forecast – BUY or SELL Euros (Andrew Bromley)

An unprecidented days trading yesterday as the Swiss National Bank surprised the world!

The Swiss Franc, well know internationally as a safe haven currency surprised the world and made two key financial changes.

– The Swiss Interest rate has been changed to -0.75%. This means it actually COSTS you money to have it in a savings account!

– The second point is the removal of a peg linking the Swiss Franc with the Euro. The Swiss Bank had been throwing money at the Swiss Franc in an effort to weaken it – the weak Euro had been making Swiss exports seem incredibly expensive. This peg is a clear sign that the SNB are not interested in being linked with the Euro, perhaps an indication to further Euro weakness. This SNB move goes hand in hand with solid expectations of an announcement of Eurozone Quantitative Easing next Thursday. Coulple this with the Eurozone Court of Justice giving QE the go ahead, to a lot of market analysts the move is nailed on.

What often happens at this point is markets price in the drop in anticipation of the event. If you are looking at BUYING Euros I’d be inclined to take advantage sooner rather than later. You wouldn’t want to miss a cracking exchange rate if the Eurozone decide on no QE next week.

Euro Sellers – Opinion is that it’s only going one way and quickly! I’d sell any holding of the ‘Single currency’ sooner rather than later – The future does not look bright!!

If you have any questions or an exchange requirement, please feel free to call me on 01494 787 478 or email AJB@currencies.co.uk

GBPEUR soars!

GBPEUR has soared in recent days as markets price in the high expectations of some unfavourable movements on the Euro. Looking ahead I would be most concerned if holding Euros and the SNB decision underlines that we should never take rates for granted. In your dealings and decision making you will undoubtedly come to some big questions and we can help you to make those decisions even though we cannot tell you what to do.

If you need to make a large currency purchase in the future please contact us as we can help with not only an exchange rate which will save you money but also information on when to execute the deal. For more information please email me Jonathan on jmw@currencies.co.uk, I look forward to hearing from you!

GBPEUR SPIKING – Currency update

GBPEUR rates have climbed to a 6 year high over the last 24 hours, giving people with any euros to buy the best opportunity seen for some tim to remind people that the famous saying stands ‘more is lost through indecision rather than no decision’. I would certainly be someone taking full advantage of this if I was needing to buy the single currency.

Moving forward there are more events taking place which could give a higher level yes but by waiting you open yourself up to a loss. You can imagine how many people are rather frustrated they have not waiting until now to buy their currency.

The days ahead include, European Inflation, Greek elections and the QE decision in Europe. . Markets are going to stay rather changeable meaning there will be opportunities for buyers and sellers and it is now when you should act. Either by locking in levels to know where you stand or by using the tools here to limit your exposure. This includes limit orders and stop/loss orders. These in real terms put a ‘net’ over the market only allowing it to move the amount you willing to let it before your position is secured.

 

For more information on your options and our views on markets feel free to get in contact by email. My name is Steve Eakins and you can contact my via hse@currencies.co.uk

Sterling Euro 6 year high trading at 1.29 (Tom Holian)

Sterling Euro exchange rates have hit a 6 year high trading at 1.29 as the markets price in next week’s QE. it is very likely that the European Central Bank will act by printing more money in order to stop the fall in inflation on the continent.

Low inflation has a big impact on growth and with the interest rate at just 0.05% it is almost impossible for the ECB to cut rates so the other alternative previously used is QE which often weakens the currency involved.

Also we see the Greeks go to the polls on January 25th and if the Syriza gets in we could see a bit fall for the Euro providing excellent opportunities to buy Euros.

If you have a currency transfer to make and want to save money on exchange rates compared to using your bank then contact me directly for a free quote. Tom Holian teh@currencies.co.uk

 

 

GBPEUR rates comfortably above 1.28

GBPEUR has spiked again today presenting excellent opportunities to buy Euros and causing upset for Euro sellers. If you need to buy or sell Euros in the future this really isn’t a market to mess with. Making some careful preparations now will more than likely make your life less stressful and easier down the line. The next few weeks will see GBPEUR very volatile owing to the ECB decision and also the Greek elections.

For more information please email me jmw@currencies.co.uk for the latest information on the rates and news on what to expect!

GBP EUR – Exchange Rate Forecast (Andrew Bromley)

The Pound retracted slightly this morning on the back of the poor UK CPI (Inflation) data. It had been expected as amongst other products, the low fuel costs have indicated that the price of set goods isn’t increasing. Although this puts more Pounds in your pocket, Inflation is a key indicator as to whether or not an economy is sucussful. The target is a rate of 2.0, so the level released of 0% potentially a cause for concern.

The on-going Eurozone worries of Quantitative Easing (expected this month) and the potential Greek exit from the Eurozone, EUR is definately the weaker side of the currency pairing.

If you have a currency exchange requirement, please feel free to drop me a line to discuss. Either email me AJB@currencies.co.uk or direct to the trading floor 01494 787 478

 

GBPEUR rates are good but for how long?

GBPEUR rate remain favourable but will this last? I personally feel there is more chance of rates falling in the future, let me explain why! The first major reason for me is the election in May. The UK election promises to be one of the most uncertain in years and uncertainty on exchange rates creates volatility which is more than likely to lead to sterling weakness. One of the second major reasons for GBPEUR to fall is the expectation that the Euro will fall further is very much priced into current exchange rates. The chances therefore that the Euro is going to lose more value is likely but it has been factored in, on balance the likelihood of GBPEUR falling is likely.

If you need to move any funds around then why not speak to us about the options available to you when moving funds internationally at the very best exchange rates. Please email me jmw@currencies.co.uk for more information.

GBPEUR rates spike!

Sterling is in for an interesting 2015 with a general election and the prospect of an interest rate rise looming. The raising and lowering of interest rates has a large effect on exchange rates. If it is expected interest rates will rise in the future then the currency should strengthen, if it is expected rates will fall the currency should weaken. To remove the risk from the market speak to one of our specialist team by filling in the quote form or ask for a quote by emailing jmw@currencies.co.uk.

GBP/EUR Rates Back Through 1.28 (Matthew Vassallo)

GBP/EUR rates have moved back through 1.28 during Friday’s trading. Sterling continues to find support around the current levels, with many investors now waiting for the pair to hit 1.30.

Personally I still feel another shift in market conditions will be needed to breach that level, despite the Eurozone falling in to Deflation this week. There was mixed economic data out for the UK this morning, with a fall in Industrial Production but a positive reading for the latest Manufacturing data.

If you have an upcoming currency transfer and would like to be kept up to date with all the latest market movements, or simply wish to compare our award winning exchange rates with your current provider, then please feel free to contact me directly on mtv@currencies.co.uk

Swings with GBP / EUR rates!

GBP / EUR rate has fallen below the mid 1.27 mark with leading supermarket chain Tesco announcing they will be closing 43 unprofitable stores and looking to make cuts of £250m.  In addition Marks and Spencer this morning have also released data announcing general merchandise sales fell 5.8% in the third quarter which is not good signs for the British economy.

It’s an important day for GBP with the BoE announcing the first interest rate decision of the year. The general consensus is the BoE will announce no change. If this is the case the BoE minutes released on the 23rd January could give an indication to when interest rates may rise. In addition on the 22nd January Mario Draghi head of the European Central Bank is to announce whether quantitative easing will start to stimulate the Eurozone’s economy. It’s crucial if you are looking purchase Euros towards the end of the month to keep an eye on these two important pieces of data as a large swing in sterlings favour could occur.

For assistance on your currency transfer feel free to email me on drl@currencies.co.uk