Monthly Archives: May 2017

Pound to Euro rates soften slightly after Monday recovery (Joshua Privett)

Pound to Euro rates of exchange have seen a marginal correction after the recovery recorded during the Bank Holiday period yesterday.

The heaviest falls to Sterling’s value came last week when it emerged that the election was much closer than first thought, and currency markets began scrambling over themselves to seek protection from what could end up being a very uncertain election period.

The margin for error is now very close. The expectation of a Conservative majority based on polling is similar to what the Remain camp were forecasted to win by in the Referendum last June. As such the confidence necessary to keep demand for Sterling high and therefore trading well against other currencies has been hindered somewhat.

We saw a recovery yesterday which is fairly common following large currency exchange movements, as markets re-balance waiting for more news about the upcoming election.

Without demand for Sterling its value would career downwards, making the Euro a more expensive prospect for anyone with an upcoming requirement.

Anyone with a Euro requirement in the immediate term may be wise to contact me to discuss a strategy on how to approach the vote to secure any targetted peaks and ensure you are better protected from any downside risk.

It could even be that the slight resurgence on exchange rates recorded today will be the best buying levels available before the election itself.

I have never had an issue securing more commercial exchange rates than what is on offer elsewhere. Contact me over the bank holiday weekend on jjp@currencies.co.uk while markets are closed for a short discussion concerning your personal situation.

Election news causes the Pound to wobble against the Euro (Tom Holian)

The Pound has slipped vs the Euro during Friday’s trading session as the most recent opinion poll has shown that the lead for the Tories over Labour has slipped to just 5%.

Previously the Tories were showing a huge lead over the opposition and this data release has caused a big surprise to the markets and we have seen rates to buy Euros with Pounds drop to their lowest level in months.

With the Tories previously expected to win by a huge majority this has led to the Pound weakening as any change in the voting pattern has caused concerns for investors.

Generally speaking if the existing government wins it provides another term of financial stability for UK businesses and therefore this is why the change in the poll has caused the Pound to suffer against the single currency.

Immediately after Easter when Theresa May called a snap general election this saw GBPEUR exchange rates challenge 1.20 on the Interbank level and although they didn’t reach that rate this was the highest we had seen the Pound get to vs the Euro since the end of 2016.

The Pound has also been weakening owing to rising inflation levels. Typically the Bank of England would look at increasing interest rates to combat high inflation levels but with the amount of QE having been used in recent years I cannot see any change in interest rates coming anytime soon.

Therefore, the central bank is struggling what to do next in terms of controlling inflation and this is causing problems for Sterling exchange rates vs the Euro.

With less than two weeks to go if you would like to make a currency transfer and save money compared to using your own bank then why not contact me for a free quote. I work for one of the UK’s leading currency brokers and have done since 2003 so I’m confident that a quick email could save you a lot of money.

I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

What can we expect from the GBPEUR rate in the coming weeks?

The overall implication for the pound from the UK election is likely to be some turbulence  as we get closer to the actual election, indeed we have already seen close to 5 cents movement between the high and the low since the snap-election was called back in April. Overall the the belief that the pound will rise after the election is I believe a little misplaced, I think there is a real risk the pound could actually fall because expectations will not be met. What I also believe is that the Euro will remain strong and this will continue to weigh on the pound to euro rate and continue to make buying Euros more expensive.

With the pound currently mid range against the euro based on the trends of this year I believe Euro buyers are still looking at some tempting opportunities. With an election comes uncertainty and whilst A strong Theresa May victory would see sterling rise, this cannot be guaranteed. If we look at the last two elections the polls have been wrong and we know that the polls before the Referendum pointed towards a Remain vote. Gambling that the outcome will be favourable for you could prove a costly mistake.

Political concerns in the Eurozone have abated with Le Pen failing to make her mark on the French Presidency and Emmanuel Macron helping to soothe nerves that France might be at threat from the right wing populism that many believed was sweeping across the world. The general belief for the GBPEUR rate is that the pound still remains on the back foot and susceptible to sudden deterioration as the market still tries to come to terms with the Brexit.

If you have a transfer to make buying or selling pound to Euros please get in touch to learn of the best deals and rates plus receive some practical assistance with the timing of any transfer too. Please email jmw@currencies.co.uk to learn more about the rates and services we can offer.

Buying Euro rates soften as markets digest news of Manchester attack (Joshua Privett)

Pound to Euro exchange rates had undergone a further softening into the lower 1.15’s amid an anxious climate in the UK following the Manchester Arena bombing last night.

Rates had previously been falling in response to underwhelming data emerging from the UK economy concerning the diminishing potential for a UK interest rate rise.

This was further compounded by comments made by Angela Merkel, the German Chancellor, yesterday who stated that the Euro was ‘too weak’ and she would like to see it gain value. These are the kind of comments which cause the short-term rally for the Euro.

However, since then, likely due to the likelihood that the situation in Manchester is contained for now, the pressure on the Pound brought out by apprehension forced by the attack abated, and, as such, GBP/EUR exchange rates were getting very close to 1.1 at the time of writing this article.

However, I would not expect this to continue. As the above suggests the underlying trend before the completely horrific attack yesterday was GBP/EUR negative. Without these being addressed it is likely the Pound will continue to remain pressured in the short-term, so Euro buyers should seriously consider their situation and the sensibility in securing an exchange rate sooner rather than later.

As such anyone with a very short-term requirement to buy Euros may be wise to contact me on 01494 787 478 and ask to be put through to Joshua to discuss a live price for your transfer and avoid being ‘last to the party’.

I have never had an issue beating the rates of exchange on offer elsewhere, so a short conversation could save you a healthy sum on your next transfer.

Anyone with a slightly longer term transfer can also contact me on jjp@currencies.co.uk to discuss a strategy for your transfer in the run up to the election aimed at maximising your currency return.

Terrorist Attack in Manchester (Daniel Johnson)

22 Dead in terrorist attack

Police have now confirmed that 22 people have lost their lives including children and 59 injured after an explosion at an Ariana Grande concert at the Manchester arena. Our thoughts are with all those affected. Terrorist attacks do effect currency, perhaps due to the common occurrence of such atrocities it does not have the same impact as previously. The attack has however contributed to losses for Sterling with GBP/EUR now in the 1.1540s.

UK Election. How will it effect GBP/EUR?

The move to call a snap general election by Theresa May looked to be a shrewd one. Calling an election when the opposition was so weak was thought to almost guarantee a conservative victory. Usually a snap election would cause the currency in question to weaken in value, but on this occasion the opposite occurred. A conservative victory is deemed as positive for the UK economy, investor confidence grew after the announcement and the pound rallied. Since then however the PM has riled her core voters by stating that if the elderly have more than £100k in cash or assets they will pay for their own care. This has caused Corbyn to gain ground on the Conservatives with Labor now only 6 points behind the Tories. Political uncertainty historically weakens the currency in question. If we look at the last general election we saw volatility very close to the day of the vote. This could create a valuable opportunity for Euro sellers at this election.

If you have a currency requirement I will be happy to assist. It is vital to be in touch with an experienced broker in such volatile times. I will be happy to provide a individual trading strategy to suit your needs with no obligation to trade with us. If you would like to get in touch feel free to e-mail me at dcj@currencies.co.uk. Thank you for reading.

 

 

Pound continues to fall against the Euro as predicted (Tom Holian)

Pound Euro exchange rates have continued to fall during today’s trading session and this has been the case for almost two weeks now.

There doesn’t appear to be a lot of confidence in Sterling at the moment and the Euro is going from strength to strength.

Not only is the Euro strong vs the Pound but it is also strong vs the US Dollar.

Typically when the Dollar weakens this results in Euro strength and this appears to be the case at the moment.

There is a lot of economic data due out for Europe tomorrow with German GDP data for the first quarter as well as manufacturing data.

As Germany is the leading economy in Europe if the economic data is strong in the morning expect GBPEUR exchange rates to fall.

Turning the focus to the UK, inflation has been one of the main culprits for Sterling’s recent demise vs the Euro. The Inflation Report Hearings are due out at 11am and if they highlight the ongoing problem then I expect to see the Pound fall even further against the single currency.

With just over a fortnight to go before the UK’s general election then we could see further volatility ahead so if you want to avoid the risk of the market moving against you then it may be worth looking at buying a forward contract which allows you to secure an exchange rate for a future date.

If you would like further information or a free quote when buying or selling Euros compared to using your own bank then contact me directly and I look forward to hearing from you.

Having worked for one of the UK’s leading currency brokers since 2003 I am confident of being able to offer you bank beating exchange rates as well as helping you with the timing of your trade.

Tom Holian teh@currencies.co.uk

 

Could the Pound fall further against the Euro? (Tom Holian)

Pound Euro exchange rates have had a difficult last fortnight with a loss of over 3 cents. The problem that the British economy appears to be facing at the moment is that of rising inflation.

This was confirmed in both the Quarterly Inflation Report as well as the Consumer Price Index which came out earlier this week.

Rising inflation is a problem for the UK and part of this has been caused by the strength of the US Dollar. As we import so much from overseas and GBPUSD exchange rates have fallen by approximately 15% since last year when the Brexit vote was held the cost of living is rising.

Indeed, unemployment which came out at its best level in 45 years should have in theory strengthened Sterling vs the single currency but as Average Earnings came out lower than the current rate of inflation this means that although more people are in work their spending power has been reduced.

Increasing inflation would usually be tackled by the Bank of England with an interest rate hike but the central bank has a problem in that Quantitative Easing seems to be the monetary policy used in recent years. The Bank of England voted earlier this month to keep rates on hold with only one member voting for an interest rate hike.

Therefore, I think we will see the Pound struggle against the Euro until the issue of inflation is tackled or it comes down by itself.

With less than 3 weeks to go another question that I am frequently being asked is what will happen to the value of the Pound once the general election takes place.

Usually we would see the Pound strengthen if the existing government maintains the status quo but I think this time round as it is so obvious that the Tories will win I think this has already been priced in to GBEUR exchange rates.

If you would like further information or for a free quote when buying or selling Euros then contact me directly and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

 

 

Will the pound to Euro rate fall further?

The pound to euro exchange rate could now really suffer as we get closer to the UK election and any uncertainty of a strong Theresa May victory weighs on the pound and sees exchange rates fall. The overriding impression on the market is that we will soon see the pound rise higher on the back of a strong Theresa May victory. However the potential for a big improvement on the exchange rate is not as high as in previous years where we have seen the market fall and rise sharply owing to the uncertainty around the outcome. This morning’s Retail Sales figures are reason to expect some turbulence ahead of the bigger news in June.

Therefore if you have a currency requirement buying or selling the pound and Euro making some plans around this important event is crucial. Once the UK election is over there then begins a whole new set of problems as we learn of the latest news surrounding the Brexit deal and further problems. If you have a transaction you are considering in the future then making some plans in advance is sensible to avoid the risk of further uncertainty or surprises causing upset.

There is a strong belief that the pound to Euro rate will rise in the future as we get closer to understanding the true nature of the Brexit. However we could be waiting some time to find out exactly how this will pan out. With German elections later in the year the Euro might strengthen but assuming the Conservatives win a strong majority the outlook for GBPEUR is I believe to be close to 1.20 than the mid teens.

If you have a transfer buying or selling the GBPEUR currency pairing then the next few weeks look very interesting. For more information at no cost or obligation please speak to me Jonathan Watson by emailing jmw@currencies.co.uk.

Euro on the charge, where next for GBPEUR exchange rates?

The pound to Euro rate dropped yesterday as UK Inflation data was shown to be rising at a faster pace than thought and this piles pressure on UK consumers. With consumers in the UK making up a large degree of the financial activity since Brexit, consumer behaviour is crucial to where the UK economy and sterling exchange rates ultimately heads.

The biggest factor for the Euro is at present is improved political news and also economic news. Eurozone GDP was confirmed at 0.5% yesterday and Emmanuel Macron made headway in forming a cabinet which has dispelled some of the fears relating to the Euro over the last few weeks. The economic outlook in the Eurozone is looking much more positive and with Angela Merkel’s party also faring well in the recent elections, much of the political fear and worry over the Eurozone is being neutralised.

This represents a shift as Donald Trump begins to encounter problems with not just the US economy but also politics coming under fire for leaking information to the Russians and also for firing the head of the FBI. The UK too is struggling politically, whilst Theresa May should win the election in June there is uncertainty there over just how it will effect the Brexit.

So all in all the Euro is benefiting from uncertainty elsewhere. I expect this trend to remain as we get closer to the UK election and Donald Trump continues to dance to his own tune with no tangible benefit to the US economy. GBPEUR could easily drift lower now down to 1.14 or 1.15 as we approach the UK election.

Today we have key data with the latest Unemployment figures for the UK so if you have a transfer to make please keep your eyes peeled for this morning’s data at 09.30 am. All in all if you have any currency transfers to make understanding the market and all of your options is key. For a detailed analysis of your position and how we might be able to help please contact me Jonathan Watson by emailing jmw@currencies.co.uk.

Pound to Euro exchange rates take another dip following poor inflation figures (Joshua Privett)

Pound to Euro exchange rates have unfortunately taken a further tumble this morning as fears about inflation appear to be manifesting.

There is a very intimate relationship between interest rates and inflation which is why Pound to Euro exchange rates did not fare too well today when it was revealed inflation growth appeared to be ‘petering out’.

Growing inflation is a concern for Central Banks, as this suggests that prices are ‘running away’ from the ability for consumers to buy. A common tool to combat this is to conduct interest rate rises to curb spending by increase the incentive to save – in turn keeping prices lower.

The secondary effect of this is that the Pound tends to get a bit of a boost. If interest rates rise then holding Pound’s produces a higher yield, and this means you should normally see its value rise due to increased demand.

However, inflation is not rising fast enough to justify this, and it has lend credence today with the confirmation of the inflation rate that it is unlikely the UK will be seeing an interest rate hike.

This negative outlook for the Pound fed into markets immediately today, which is why GBP/EUR tumbled to begin today’s trading session when the news came out at 9:30am.

This will likely be the dominant narrative moving forward this week, so Pound to Euro buyers may be wise to move sooner rather than later to avoid a difficult day when buying an upcoming currency requirement.

This will likely dictate Sterling rates for the rest of the week, so anyone planning a transfer can contact me on jjp@currencies.co.uk to discuss a strategy for your transfer based on the outcome aimed at maximising your currency return, whether this be buying or selling Euros.

I have never had an issue beating the rate of exchange offered elsewhere, so a brief conversation could save you thousands on a prospective transfer.

Economic data to set the tone for Pound vs Euro exchange rates this week (Tom Holian)

The Pound has continued to drift down vs the Euro during today’s trading session as the markets are still digesting the news from the back end of last week.

However, the market has remained relatively quiet today in anticipation of another big day in terms of economic data tomorrow and Wednesday.

Although we saw the news from the latest Quarterly Inflation Report on Thursday all eyes will be on tomorrow morning’s Consumer Price Index due at 930am. The expectation is for 2.6% which is higher than the Bank of England’s target of 2% so anything different could cause some volatility for GBPEUR exchange rates.

Closely following the UK’s inflation data the Eurozone will release GDP data for the first quarter of 2017. The expectation is for growth of 1.7% year on year and with the German economy performing well in recent weeks I would not be surprised to see a positive announcement for the Eurozone and if this takes place we could see the Pound lose ground vs the Euro during tomorrow’s trading session.

On Wednesday UK unemployment data is due and although unemployment figures have been getting lower here in the UK the real problem is that of Average Earnings which have started to slow recently.

In layman’s terms this means that although there are more people in work their spending power is reduced and generally speaking this tends to weaken the currency involved.

Therefore, I think over the next two days Sterling will face a difficult period vs the Euro.

If you would like further information or for a free quote when buying or selling Euros compared to using your own bank then contact me directly and I look forward to hearing from you.

Working for one of the UK’s leading currency brokers since 2003 I am confident of being able to offer you bank beating exchange rates as well as being able to offer you different types of contracts including forward contracts which allows you to fix an exchange rate for a future date.

Email me below.

Tom Holian teh@currencies.co.uk

 

Has Sterling’s rally vs the Euro come to an end? (Tom Holian)

The UK published a number of lower than expected economic data releases on Thursday which caused the Pound to hit a one week low vs the Euro.

The Pound has had a very good run in recent weeks but the combination of poor Industrial & Manufacturing data caused the Pound to fall vs the single currency.

The UK’s Trade Deficit figures came out at £13.4bn and this is not a good thing for the British economy and in particular the Pound vs the Euro.

Whilst the Bank of England kept interest rates on hold the governor of the central bank Mark Carney cut the UK’s growth forecast from 2% to 1.9% and this led to investor confidence waning in the UK and as such the Pound fell against the Euro.

Inflation has been predicted to rise to 2.8% whilst average earnings are predicted to fall to just 2% which effectively means that the cost of living is going up whilst wages are falling.

German economic data out this morning showed an improvement in GDP compared to the first quarter from 0.4% to 0.6% and this helped the Euro to end the week on a high vs the Pound which has provided some good opportunities to sell Euros to buy Sterling compared to recent times.

We ended this week with US Retail Sales falling in April and typically when we see Dollar weakness this results in Euro strength which has been evident this afternoon.

As we go into next week the focus is likely to return to the UK’s political landscape and with the Tories looking like they will win without any significant challenge could this provide the Pound with a recovery against the Euro?

Having worked for one of the UK’s leading currency brokers since 2003 I am confident of being able to offer you bank beating exchange rtes compared to using your own bank .

Therefore, if you would like further information or a free quote when buying or selling currency then contact me directly and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

 

Pound to Euro rate hits one-week low as Bank of England lowers growth forecast (Joseph Wright)

The Pound to Euro exchange rate has dropped to its lowest level in a week yesterday as data from the disappointed.

The Bank of England (BoE) slashed its growth forecast as yesterday’s quarterly inflation report confirmed that inflation levels within the UK will soon outstrip earnings growth. Sterling has dropped below 1.1850 this morning as the softening of the Pound continues although the currency is still towards the top of the current trading range.

Those considering a Sterling transfer should bear in mind that earlier this week analysts at Lloyds bank downgraded their GBP/EUR price target from 1.18 to 1.16 at the end of 2017. This level is below the Pounds current mid-market value, so it seems that some professionals expect the pound to fall as the year goes on.

I also think that if it surfaces that Brexit negotiations have begun badly, we could see a sell-off for the Pound as the setting up of new trade agreements is likely to be the governments priority as the UK enters a time of uncertainty. Now that economic data is playing a more prominent role in the value of the Pound it’s certainly worth paying a close eye on data releases as they’re impacting Sterling rates to a greater extent than last year when politics played a greater role.

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.

How will the UK General Election effect GBP/EUR? (Daniel Johnson)

Will the Election cause Sterling weakness?

Theresa May announced a snap election to take place on 8th June. Historically a snap election would cause the currency in question to weaken, however on his occasion we saw the opposite occur. Following the announcement Sterling strengthened over the Euro. It is important to remember the market moves on rumour as well as fact. It was a shrewd move by May to announce the election while the opposition is so weak. Due to the conservatives clear lead in the polls, I am of the opinion a conservative victory is already factored into current rates of exchange. I would expect little movement on GBP/EUR if the conservatives win. It is when the unexpected occurs you can expect significant movement on the exchange.

We can use the recent French election as an example. After the first round of voting, the field was broken down to two candidates. Macron and Le Pen. Macron was so dominant after the first round the Euro strengthened due to Macron’s pro EU stance. However, when his victory was confirmed we saw little movement on GBP/EUR.

Super Thursday

Thursday brings the UK interest rate decision. I would be very surprised to see any change. It will be interesting however to look at how the monetary Policy Committee (MPC) votes. The nine members vote on whether there should be any change in interest rates, if a member’s vote changes from last month’s we could see movement on the market as this is an indication a change in monetary policy could be on the cards.

We also have manufacturing data which is expected to show a slight decline, any variation from the prediction could result in volatility.

If you have a currency requirement I will be happy to assist. I will provide an individual trading strategy with no obligation to trade. If you already have a currency provider let me know what you are being offered and I am confident in showing you a considerable saving. Feel free to contact me at dcj@currencies.co.uk. Thank you for reading.

 

 

Macron wins but Euro remains flat against the Pound (Tom Holian)

Emmanuel Macron has been confirmed as the new President of France with a convincing win over the more controversial candidate Marine Le Pen.

What make this interesting in terms of the currency markets is that this has done little to move the Euro vs the Pound and if anything we have seen GBPEUR exchange rates make gains since the start of the week.

Tomorrow morning there is a host of economic data due out from Germany in the form of Industrial Production data as well as Trade Balance. As Germany is the leading economy in the Eurozone any data can affect GBPEUR exchange rates.

The focus is now likely to return to what is happening politically in the UK and with the general election due to take place a month from today I think we could see the Pound make some gains in the weeks ahead as it appears as though the Tories will win with a clear majority at the moment.

If this happens this could provide the UK with more stability which means Theresa May will be able to start progressing the Brexit negotiations.

Therefore, if you’re in the process of looking to sell Euros during this month it may be worth looking at a forward contract which allows you to fix an exchange rate with a small deposit for a future date.

Having worked in the foreign exchange industry since 2003 for one of the UK’s leading currency brokers I am confident not only of being able to offer you bank beating exchange rates but also help you with the timing of your transfer. 

If you have a currency transfer to make involving buying Euros or selling Euros and would like further information or a free quote then contact me directly and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

 

Will the Pound improve after the French election? (Tom Holian)

We are now just a short time away from the French election which will be key in the short term movement for GBPEUR exchange rates.

At the moment it looks more than likely that Macron will win on Sunday with a clear majority vs Marine Le Pen but for me if the vote is closer than most expect then I think we’ll see some problems ahead for the single currency.

Le Pen is one of the most controversial candidates in France for years as she has campaigned for both a French referendum on the European Union as well as leaving the Euro in favour of the French Franc.

With the UK election campaign now in full swing I think as the Tories have done so well with the local elections I don’t see any real challenge from any other party and this is likely to provide Theresa May with a clear path to victory.

Over the month I think we could see the Pound improving against the Euro challenging 1.20 on the Interbank level.

However, once the general election is concluded the focus will then return to the Brexit negotiations and Theresa May has already said she’ll make things difficult and therefore I think we’ll see the Pound start to fall once the talks commence.

Having worked in the foreign exchange industry since 2003 for one of the UK’s leading currency brokers I am confident of being able to offer you both bank beating exchange rates and also help you with various contract types typically not available from your own bank.

For further information or for a free quote when buying or selling Euros then feel free to contact med directly and I look forward to hearing form you.

Tom Holian teh@currencies.co.uk

 

What can we expect on the pound to Euro rate in May?

The pound to Euro rate is likely to come under some turbulence in the coming weeks as we get much closer to the latest news regarding the UK and French elections. Sunday sees the results of the French election and June 8th the UK election. Elections contribute to volatility on many fronts and we could easily see some big swings on the markets which would see the pound higher against the Euro but on reflection I think it will only become more expensive to buy Euros with pounds. If you need to buy Euros with pounds making some plans in advance is without doubt a smart move!

Overall the rates to buy Euros with pounds have improved significantly in recent weeks as the UK election contributes to some better deals to buy Euros at. Most of 2017 has seen the levels trapped between 1.13 and 1.17 but just lately we have seen some deals for clients buying Euros in the higher teens in the 1.18-1.20 bracket.

Such a big improvement is I believe well worth considering especially when you consider what is around the corner. The pound is highly likely to come under pressure from the UK election as despite the likelihood of Theresa May winning, there is always uncertainty around an election. The opposite is true for the Euro which is likely to strengthen after Sunday assuming a Macron victory since this will remove any uncertainty around this event.

Clients looking to buy Euros might wish to capitalise on the current excellent levels which are very close to the best rates we have had in 2017 to buy Euros with pounds. Whilst there is a chance rates might be higher after the French election we could well see the Euro stronger, if I have Euros to buy the next 48 hours are crucial!

For preferential market beating exchange rates and a friendly personal service please contact me Jonathan Watson by emailing jmw@currencies.co.uk with a brief overview of the situation and I will be in touch very soon to run through and explain our services.

Could Tough Brexit Negotiations Halt Sterling’s Rise? (Matthew Vassallo)

The Pound has enjoyed a positive run against the EUR of late but has found resistance around the current levels over recent days.

With the pair now trading around 1.18, having hit a high of over 1.19 over the past couple of weeks, it indicates that the EUR is finding a lot of support under 1.20.

As regular readers will know this is a key resistance level on the pair and I certainly feel we need to see another shift in market sentiment, in order for the Pound to break through this.

Whilst the EUR has come under pressure ahead of the French elections, with the markets fearing a far right Le Pen victory, this scenario looks to becoming less and less likely. Whilst I’m wary about reading too much into poll numbers following last year’s surprising Brexit result and Trump’s victory in the US elections, I do feel that a Macron win on Sunday will help to solidify the single currencies positon.

The Pound found support following the announcement of a UK general election in June and the likely result of a Conservative victory, bringing an element of stability to the markets due to the continuity it will bring over the coming years. However, this positive spike seems to have cooled somewhat and based on some worrying reports this week, in regards to the UK’s Brexit negotiations and how tough they are likely to be, are you prepared to risk losing the gains made for Sterling over the past month?

My overall feeling has been that clients holding the Pound should be looking for short-term market opportunities, rather than hold out for long-term sustainable gains whilst so much uncertainty around the UK economy remains.

UK Prime Minister Theresa May has come out fighting this week, in response to reports that the UK has little understanding of how the EU works if it thinks it will be getting a good deal in regards to our Brexit. Whilst political jostling could account for a portion of this, I do feel we are in for a rocky road over the coming months. As such I would be looking to protect any GBP/EUR requirement, rather than gamble on an extremely uncertain market.

If you have an upcoming GBP or EUR 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 on 0044 1494 787 478 and ask one of the team for Matt.

Alternatively, I can be emailed directly on mtv@currencies.co.uk.