Will GBPEUR rise or fall on Article 50?

We now finally have a date for Article 50 to be triggered and are expecting some big swings on the market as investors digest the outcome. The pound could possibly rise but I think in the end this will be a sterling negative event. Expectations over the outcome remain constrained to the likelihood that the market is viewing Brexit in a negative light. If the pound was to benefit so much from Article 50 being triggered why has it lost between 10 and 15% of its strength the vote last June?

The counter of course to this argument is that much of the weakness is priced in and we will actually see some movement higher as a relief rally. My greater concern for sterling, however, is the new set of questions we will be faced with once the Article 50 is invoked. What kind of deal will the UK get and how much is the Brexit bill will all weigh on the pound and makes anticipating the next moves tricky as the market tries to digest just what is happening and how it feels.

Overall I do believe the pound is likely to struggle and any Euro weakness we see as a result of the French election will ultimately be neutralised by a weaker pound in this period. We are gearing up for a very volatile period and with the 29th March now set as a date for the triggering of Article 50, all eyes will be on the pound and what may happen.

If you have a transfer to consider involving buying or selling the pound it is well worth making some plans in advance to navigate the uncertainty. We are here to help with proactive assistance to help you achieve your desired higher exchange rate. For more information at no cost or obligation please speak to me Jonathan by emailing jmw@currencies.co.uk.

Pound to Euro exchange rates show signs of life (Joshua Privett)

Pound to Euro exchange rates have enjoyed a positive end to the week after two weeks where Friday has forced a woeful atmosphere on many Euro buyers as they enter the weekend.

For once this currency movement had little to do with the twists and turns of the political sagas of both the UK and the Eurozone. Instead one of the side-effects of the Pound’s low value, rising prices due to the high number of items the UK exports, after many months, may finally yield to a long-awaited interest rate rise in the UK.

Interest rate rises are one of the tools used by the Bank of England to control pricing in the UK. By encouraging people to save, this should stem rising prices to some degree, given that the incentive to save rather than spend is higher – so prices aren’t driven up by higher demand.

Carney said that whilst rates won’t rise right now, there is a near certainty that they will in the future. As such the Pound has bumped upwards with speculators excited for greater opportunity on their potential returns from holding Sterling.

A rate rise would put the UK’s benchmark interest rate at 0.5%, compared to the Eurozone’s which is at a paltry 0.05% – this is why Euro buyers were the main beneficiaries off the back of the news compared to other currencies.

So what next?

Frankly, there is little else to focus on this month apart from the triggering of Article 50, but markets are worried about the setting in which it is enacted. Will the Scottish Parliament formally request another Referendum as a result? This is the key question which has dogged Sterling in the Past week.

As such with forecasts heavily dependant on an evolving landscape, it is key to have contact with a broker established ahead of time to avoid missing out in these situations – whether opportunities or sudden-drops.

If you are planning to make a currency exchange involving the Pound and another foreign currency, it’s well worth your time getting in contact with me on jjp@currencies.co.uk in order to ensure you make a well informed decision on when to make that particular transfer, as well as benefiting from highly competitive exchange rates from one of the UK’s leading foreign currency brokerages. Just provide me with a basic outline of your currency requirement and I will be back in touch with you as soon as possible.

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

What impact could Article 50 have on Sterling? (Tom Holian)

There are a lot of mixed opinions as to what could happen to Pound Euro exchange rates in the weeks ahead once Article 50 has finally been triggered.

As yet no formal date has been announced so we still do not know exactly when this will happen. However, according to Brexit secretary David David it will happen before the end of the month.

With Royal Assent having now been granted then the UK government could trigger it any day now so why delay?

In my opinion the government is stalling as it still does not yet know what it will do when formal negotiations start.

What is for sure is that 2 years of uncertainty will be facing the UK and if negotiations get off to a bad start then we could see huge problems ahead for the Pound.

When you look at what happened immediately following the Brexit vote back in June last year the Pound saw its biggest single daily loss in history against the Euro as well as against all other major currencies.

The uncertainty caused by what happened had a huge negative effect on Sterling exchange rates.

This time round things are likely to be slightly different however I do expect to see a huge amount of volatility coming in the direction for Sterling.

It has never been more important to be prepared for such uncertainty on GBPEUR exchange rates so if you would like further information about how I can save you money compared to using a bank when converting Euros then contact me directly.

Having seen what happened with Brexit last year anything could happen in the next fortnight. 

If you would like a free quote then contact me directly with a brief outline of what you need to do including the volume and timescale involved and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

 

GBP EUR Gains after Bank of England Hint Towards a Rate Increase (James Lovick)

The pound has seen another good day making gains against the Euro for the second day running. GBP EUR has now broken through 1.15 which has presented those clients buying Euros with a small improvement in rates in what is an extremely volatile and uncertain period.

The pound has been supported after one of the members of the nine strong Monetary Policy Committee at the Bank of England voted for an interest rate hike yesterday. The markets were quick to react with the pound strengthening across all of the major currencies as it is clear that noises are being made that rates will have to rise at some stage. The minutes of the meeting showed some of the other members were also considering voting for a hike soon. UK unemployment has also fallen to 4.7% also boosting the outlook for the UK and hence the pound.

Next week is likely to see even more volatility for sterling Euro rates with developments likely to come from the Scottish Nationalist Party. The second Scottish referendum is becoming a real issue for the United Kingdom and the pound is likely to remain under pressure if the Scottish parliament vote with a majority in favour of another referendum. This could really throw the cat amongst the pigeons although a retreat from Nicola Sturgeon should not be discounted either.

Conversely if there is not enough support within the Scottish Parliament, although less likely, then the pound could make some good gains. I think the Scotland story has further to go and there is likely to be more volatility and potential further weakness. Politicians will inevitably be out in force over the weekend so any political developments could impact on rates.

If you would like further information on sterling or Euro exchange rates or any of the major currencies and to discuss how we can assist then please feel free to contact me on 0044 1494 787 478 and ask one of the team for James. Alternatively, I can be emailed directly on jll@currencies.co.uk

Pound to Euro rate drops in wake in Dutch election results, where to next for GBP/EUR? (Joseph Wright)

The Pound has continued to lose value against the Euro throughout the month, and despite making a few fight-backs the currency is now lodged below the 1.15 mark at the mid-market level.

Late last night it was announced that Dutch Prime Minister Mark Rutte won the most seats in the parliamentary election, and defeated far-right hopeful Gert Wilders who was predicted to put in a strong performance. Had Wilders of won more seats or put in a stronger performance I would have expected to see the Euro lose value on fears of his plans to remove the Netherlands from the EU, but the win for the current Prime Minister has eased these fears which has strengthened the Euro further.

The Euro had been boosted recently after the European Central Bank recently confirmed that they will be tapering the current quantitative easing programme due to signs of the economy improving.

Moving forward I think we could see the Euro gain even further as the Brexit begins, particularly if it becomes public that trade negotiations are going badly.

Later today there will be an interest rate decision from the Bank of England, and although no changes are expected it will be interesting to see what governor Mark Carney has to say regarding the UK economy.

If you are planning to make a currency exchange involving the Pound and the Euro, it’s well worth your time getting in contact with me on jxw@currencies.co.uk in order to ensure you make a well informed decision on when to make that particular transfer, as well as benefiting from highly competitive exchange rates from one of the UK’s leading foreign currency brokerages. Just provide me with a basic outline of your currency requirement and I will be back in touch with you as soon as possible.

Dutch Election could weaken the Euro (Daniel Johnson)

If  Wilders gains power it could mean big trouble for the EU

The Dutch general election is upon us and Geert Wilders, the head of the far-right, Party of Freedom is currently in the lead. Wilders has stated he will close mosques, ban the Koran and leave the EU. We have seen his popularity gain momentum following clashes in the Netherlands with the Turkish who have been denied the right to protest about constitutional changes. He has since dropped four seats.

Although Wilders currently leads in the election, with twenty-eight parties in the election it is common place that a coalition is needed. Due to his radical stance on immigration other parties are reluctant to join Wilders, however could party leaders change their mind when the opportunity to gain power becomes available.

If Wilders does get in, a referendum is on the cards, we have already witnessed the damage a referendum can bring on a currency taking Sterling as an example. I would expect the Euro to weaken substantially should Wilders gain power.

US Interest Rate Decision

Today will see the Federal Reserve US interest rate decision. It is widely anticipated there will be a raise in rates. Odds currently at 90% the hike will occur. The market moves on rumour as well as fact so I am of the opinion the hike is already factored into current rates. I would not expect huge gains for the Dollar. It would be a shock however if rates remained unchanged, if this were the outcome the dollar could weaken substantially.

EUR/USD is the most frequently traded currency pair in the world, if there is an exodus from the Euro once a hike is confirmed we could see an opportunity for Euro buyers.

If you have a currency requirement I will be happy to assist. It is vital to be in touch with an experienced broker during such volatile times. I will provide a free, no obligation trading strategy and also demonstrate the rates I can achieve. I can provide a comparison against your current provider if required. I can be contacted at dcj@currencies.co.uk.

 

GBP EUR Crashes After Scottish Nationalist Party Seeks Another Referendum on Independence (James Lovick)

After an excellent day for the pound yesterday following events in the House of Commons sterling has fallen sharply this morning. The pound had been supported in anticipation that the Brexit bill would go through without amendment which would allow UK Prime Minister Theresa May to stick with her Brexit timetable and invoke Article 50 by the end of March.

However the announcement yesterday from Scottish Nationalist Party Nicola Sturgeon that she will now formally request a second referendum on independence for Scotland at this crucial time with regards Brexit has taken the shine off sterling. This week really couldn’t see more happening in terms of both the political and economic developments.
Those clients either buying or selling Euros would be wise to get in touch as the news is changing by the hour which is also having a direct bearing on the rates of exchange. There are currently some excellent trading prices becoming available for those clients needing to sell Euros.

GBP EUR has fallen below 1.14 this morning with rates down over 0.5%. Tomorrow sees the Dutch elections and depending on how well Geert Wilders far right party performs will determine the direction of the Euro going forward into these coming months. There is likely to be intense volatility following the release and if he does well or even manage to form a government then my view is that the Euro would likely weaken. The real focus from all of this is what happens in the French elections and how much support is out there for Marine Le Pen.

Thursday is also of paramount importance with the Bank of England meeting where interest rates will be discussed. With inflation rising the pound if anything is likely to see a small boost from any comments from Mark Carney although gains are likely to be limited considering interest rates are unlikely to be going up any time soon!

If you would like further information on sterling Euro exchange rates or any of the major currencies and to discuss how we can assist then please feel free to contact me on 0044 1494 787 478 and ask one of the team for James. Alternatively, I can be emailed directly on jll@currencies.co.uk

Will GBPEUR continue to fall? (Dayle Littlejohn)

It’s been a terrible month for Euro buyers and I am far from surprised. GBPEUR exchange rates have dropped over 4% since the start of the month and therefore central levels have breached 1.14s. To put this into monetary terms a €200,000 purchase is now £7,500 more expensive.

If you are a regular reader for weeks I have been stating that March would be a tough month for the pound as UK Prime Minister is set to trigger Article50 at some point. It was reported towards the end of last week that MPs within the House of Commons will debate the House of Lords amendments and Theresa May could trigger Article50 as early as next Tuesday.

For euro buyers I expect rates of exchange to continue to slide this week therefore if you are needing to purchase I would recommend sending my your requirements today and I will give you a call first thing Monday morning to disucss your transfer drl@currencies.co.uk.

In other news the Bank of England are set to release their latest interest rate decision Thursday afternoon. No surprises are expected therefore rates should remain unchanged. However as always when Governor Mark Carney addresses the public expect volatility as he will discuss how Brexit is impacting the Bank of England’s monetary policy.

For euro seller we are closing in to the fantastic rates of exchange that we saw last October and when Theresa May triggers Article50 it is very difficult to predict how the pound will perform in the upcoming months therefore I would take advantage of the gains you would have made this month.

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.

Sterling crashes to 2 month low vs the Euro (Tom Holian)

Why has Sterling fallen against the Euro this week? This is down to a number of factors with the rate to buy Euros now the lowest level since early January.

On late Friday afternoon rumours have surfaced that the International Monetary Fund may look to bailout Greece after previously suggesting that they they may slow down their loans.

This has helped the Euro to make gains vs the Pound with the biggest daily gains vs Sterling seen on Friday since last month.

The UK also posted poor Industrial Production & Manufacturing data yesterday morning and this caused the Pound to start the day off on a bad foot.

The Pound is still being negatively affected by what is happening politically in the UK with Article 50 predicted to be triggered at some point this month. However, as yet there has been no formal announcement as to when this will occur.

This has discouraged investors to hold Sterling and this is why we have seen the Pound react badly to the uncertainty.

Currency is generally affected by two main factors including economic and political data. Therefore, with a bad economic data release combined with the uncertainty of Article 50 is why we have seen the Pound fall against all major currencies including the Euro.

Next week the US Federal Reserve are almost 100% certain to put up interest rates which would typically result in Dollar strength and Euro weakness. However, with the European Central Bank having confirmed that they will taper their current amount of QE from EUR80bn to EUR60bn per month by early next year the rate rise from the US is likely to negatively affect the value of Sterling.

If you would like further information about expectations for Sterling vs Euro exchange rates or would like a free quote when buying Euros then contact me directly for a free quote and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

 

GBP EUR Crashes – IMF & Greece (James Lovick)

GBP EUR exchange rates have crashed in afternoon trade with rates falling below 1.14. GBP EUR has now seen a low today of 1.1385 almost 1% lower than the high. The weakness in the pound is largely due to the looming Brexit with Article 50 possibly being invoked as soon as next week. The House of Commons will be debating the recent amendments put forward by the House of Lords and there is likely to be considerable volatility around these discussion. Those clients selling Euros are seeing an excellent opportunity to sell and there may even be a little more room left in this rally. For more information on these essential developments please get in touch and I will be happy to try and assist with the timing of any exchange.

The Euro also appears to be finding support from comments this afternoon from the International Monetary Fund who are seeking to find an agreement for the next Greek bailout to go ahead. This appears to have been the trigger for rapid Euro strength this afternoon and there is likleyt oeb considerably more from this story.

The Euro has seen some support offered following the European Central Bank meeting yesterday. In the subsequent press conference ECB President Mario Draghi was more optimistic with the European outlook and this appears to be helping the Euro. Whilst he was not hawkish the recent rise in inflation has given the central bank some comfort and there is no urgent need to take policy action. For me this looks like we are coming to the end of the road of its asset purchasing scheme.

If you would like further information on Euro exchange rates or any of the major currencies and to discuss how we can assist then please feel free to contact me on 0044 1494 787 478 and ask one of the team for James. Alternatively, I can be emailed directly on jll@currencies.co.uk

GBP/EUR Drops below 1.15 (Daniel Johnson)

Draghi Delivers

Draghi showed his prowess at public speaking today. Addressing concerns in the Eurozone and providing solutions for potential problems. I have to admit this guy is good. He seems to address serious problems in the Eurozone with an “everything will be O.K fashion.”

I have witnessed Draghi convince the market with words in the past, despite actions to the contrary by the ECB in the past. I distinctly remember an occasion when it was announced Draghi would be increasing stimulus to the QE program to the tune of €20bn a month, the markets reacted to his reassurances of stability rather than the action of pumping €20bn into an struggling economy.

My opinion is that the Euro is in for a rough year. Three general elections will take place this year. There is the strong possibility a far right party gaining power in one of these elections which would could bring about a referendum. We have witnessed the damage caused to Sterling by the vote to leave the EU. Geert Wilder is ahead in the polls in the Holland (although it will be difficult for him to establish a coalition) and Marine Le Pen the leader of the National Front has a real chance of winning.

Let us also consider Italian bank’s bad loans, now in excess of €360bn due to their lack of a contingency plan. Greek debt, the problem that will not go away and unemployment within the bloc  bordering on 18 million.

Short to medium term the pound has potential to fall due to the uncertainty surrounding Brexit. But, my opinion is similar to that of Morgan Stanley analysts.

“The pound is one of the most undervalued currencies in the world and will  return to pre-Brexit levels.”

I do not think Sterling’s value will rise quickly, but as trade deals become more apparent I am of the strong opinion the pound will rally.

If I was holding Euros, I would sell now. Moving when GBP/EUR sits in the 1.14s is not a bad move considering what could lie ahead.

If you would like my assistance with your trades, do get in touch. I can be contacted at dcj@currencies.co.uk. Thank you for reading.

Best rate to sell Euros in 2 months (Tom Holian)

The rate to sell Euros has hit its best level in two months against Sterling as problems concerning the triggering of Article 50 continue to weigh heavily on the Pound.

The Euro is also up against the US Dollar this morning as it appears as though the French political situation is driving sentiment for the single currency.

The big news of the day will come at lunchtime when the European Central Bank meet today. There is little expectation that the ECB will change any monetary policy but the subsequent press conference when ECB president Mario Draghi speaks could cause some volatility for Sterling vs Euro exchange rates this afternoon.

When we look at what is happening politically in France at the moment the far-right candidate Marine Le Pen appears to be leading the vote and is likely to get through the first round of voting which takes place on April 23rd.

However, the general expectation is that she will lose the next and final round which takes place on May 7th. This is another reason why the Euro has started to make gains vs the Pound over the last fortnight.

The EU summit is due to take place today with the main two talking points to be discussed both Greece and the Brexit so expect further volatility for GBPEUR exchange rates over the next 24 hours.

However, the overall influence for the value of Sterling will be the issue of Article 50 and until this has been resolved and we get some form of clarity as to when negotiations can start I expect the Pound to suffer against the Euro.

For further information about the process of buying or selling Euros or if you’d like a free quote then contact me directly. Working for one of the UK’s leading currency brokers I am confident that not only can I offer you bank beating exchange rates but also help you with the timing of your currency transfer.

Tom Holian teh@currencies.co.uk

 

Pound to Euro rate trades at a 7 week low, will today’s Spring Budget offer the Pound a boost? (Joseph Wright)

The Pound has lost value over the past few weeks, not just against the Euro but across the board of major currencies.

The reason behind the fall can be put down to the uncertainty as to when the UK will begin the Brexit process, and the situation is being made worse as the House of Lords continue to discuss the proposed bill and attempt to make amendments which is negatively impacting the Pound.

Today could be a busy day for GBP exchange rates as Philip Hammond will be going over the Spring Budget. No major changes are expected to the governments current spending plans but I do think a bullish outlook from the UK chancellor will offer the Pound some much needed support. GBP/EUR has lost almost 4 cents in value over the past few weeks after hitting its 2017 high off the back of Euro weakness.

The movements between the GBP/EUR pair in recent weeks may offer an insight into what we can expect between the pair throughout the year. With the Brexit likely to begin this month and a number of key political elections in the Eurozone this year, I think there could be a number of big moves between the pair throughout the year so do feel free to get in touch if you wish to be kept updated.

If you are planning to make a currency exchange involving the Pound and the Euro, it’s well worth your time getting in contact with me on jxw@currencies.co.uk in order to ensure you make a well informed decision on when to make that particular transfer, as well as benefiting from highly competitive exchange rates from one of the UK’s leading foreign currency brokerages. Just provide me with a basic outline of your currency requirement and I will be back in touch with you as soon as possible.

A potential spike for GBPEUR exchange rates tomorrow? (Dayle Littlejohn)

With Brexit on the horizon it’s no surprise GBPEUR exchange rates have been falling in recent weeks. Within the last 14 days exchange rate have dropped 4 cents which means a €200,000 purchase is now £5,000 more expensive.

Tomorrow the UK Chancellor Phillip Hammond is set to address the public and give his latest budget. There is growing speculation that the chancellor could upgrade growth forecasts which could cause the pound to increase in value.

It was only earlier today that the Organisation for Economic Cooperation and Development (OECD) increased its forecast to 1.6% compared to 1% that was predicted last September.

For Euro buyers that are purchasing within the next 6 weeks, if the market does spike in your favor I would seriously consider taking advantage. Theresa May is set to trigger Article50 and start the process of leaving the EU within the next 3 weeks and I expect further falls once the Article is triggered.

Other data releases that will have a major impact on GBPEUR exchange rates this week is the ECB’s interest rate decision Thursday at 12:45 and UK Consumer inflation expectations released Friday at 9.30am.

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!

GBPEUR drops to 1 month low

The pound to euro rate has slipped to a 1 month low as sterling buckles under fresh economic uncertainty from the Brexit. Many commentators now feel the UK is likely to enter a period of slow growth which does not bode well for the future. As the economy begins to slow down this is being attributed to the weak pound as it makes overseas purchases more expensive and pushes up costs for many businesses and consumers. The weaker pound we are seeing is likely to continue in the coming weeks particularly as we get closer to the triggering of Article 50.

Article 50 could be triggered any day now and the viewpoint that the pound will strengthen is perhaps not as entrenched as first might have been believed. The overall trend on GBPEUR has been lower lately and personally, I wouldn’t be surprised to see further losses. Much of the recent Euro weakness has now been priced into the current GBPEUR offering which will I believe see the rate struggle to rise much higher.

If you have a transfer involving the pound and the euro making some plans in advance is crucial to understanding what we will expect next. The rate could just as easily slip to 1.10 as fly up to 1.20. I expect the level will find some support now we have had all the bad news in the market priced in.

If you have a transfer to make please speak to me Jonathan Watson by emailing jmw@currencies.co.uk for the latest trends and themes and some proactive assistance to meet and secure your currency.

Pound to Euro exchange rates may be set for further decline (Joshua Privett)

Sterling saw a very gradual decline throughout last week against most currencies, most noticeably on Pound to Euro exchange rates, which saw a good chun of the gain made during February on the pairing evapourate fairly quickly.

The reason for the Pound’s deterioration was also due to surprise events last week which was a stark reminder to how fluid the current political landscape is, and how this is translating into changing trends on GBP/EUR rates of exchange.

The first surprise came in the confident dismissal of the House of Lords’ attempts to amend the Brexit Bill. Whilst many can agree with the morality of their attempts, what currency markets have seen is the ineffectuality of the Lords’ attempts to intervene.

Markets are much more concerned with the guarantee of a Parliamentary vote on any eventual deal reached with the EU, this now seems much less likely of being realised.

With Article 50 now just around the corner, Pound to Euro exchange rates are now gradually declining with the news.

 

Next week the calender looks fairly quiet for economic performance date for the UK or the Eurozone to affect currency rates of exchange, so this current trend could continue unless a further curveball hits the wire.

With the upcoming Dutch and French elections nothing can be ruled out.

All of a sudden, it is now Euro sellers seemingly with who are seeing greater opportunity than risk in waiting for improvements on the exchange rates.

As such, depending on your timeframe for a transfer, if you are purchasing Euros using Pounds, or vice-versa, it’s well worth your time getting in contact with me on jjp@currencies.co.uk in order to ensure you make a well informed decision on when to make that particular transfer, as well as benefiting from highly competitive exchange rates from one of the UK’s leading foreign currency brokerages. Just provide me with a basic outline of your currency requirement and I will be back in touch with you as soon as possible.

Sterling Euro March Forecast (Tom Holian)

There are many factors this month which are currently affecting the rate to buy and sell Euros with the current overriding factor the issue of Article 50.

Currently the House of Lords has challenged the Brexit bill with the Lords wanting to retain the rights of European people living and working in the UK.

They are also looking to arrange a reciprocal deal with Europe to protect the rights of Britons living abroad. This latest challenge to the government has set back their plans at least for the time being.

This has caused the Pound to drop vs the single currency but I think once the Dutch and French elections begin then this could cause the Euro to face problems in the future.

It is clear that Sterling is struggling with the Brexit uncertainty and this is likely to weigh heavily on the Pound for the time being.

However, with Geert Wilders likely to be the winner when the Dutch elections take place in just less than 2 weeks time as he is the leader of a far-Right party who wants to hold his own referendum about the Netherlands staying in the European Union then this could cause weakness for the single currency.

There is also the problem ahead for the Euro with the French elections due to start of 23rd April. It appears as though Marine Le Pen will make it through the first round of the voting and could be one of two candidates to potentially win when the final vote takes place on May 7th.

If she does win this could cause longer term problems for the single currency vs Sterling so if you are worried about what may happen to Sterling vs the Euro in the weeks ahead it may be worth buying a forward contract which allows you to fix your exchange rate for a future date for a small deposit.

To find out more 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

 

GBP EUR Slides Below 1.16 – Euro Gains on French Polls (James Lovick)

The pound has fallen lower against the Euro today with rates breaking into the 1.15’s for this pair. The pound has been hampered with a potential slowdown in the Brexit process with the House of Lords seeking to make an amendment to protect the rights of European nationals living in Britain before exit negotiations actually commence. If the House of Lords do not back down on this issue there is chance that UK Prime Minister Theresa May could find herself in a position where Brexit could be delayed.

The prospect is an immediate concern for the pound as considering it has been almost 9 months since the Brexit vote to leave the EU and still nothing has happened. The general feeling is that individuals and businesses now require clarity which will follow once Article 50 has been invoked. Any delays in the process could create additional uncertainty and the pound may have further to fall in this instance.
However the general feeling is that the Lords will be forced to back down in which case the pound could see a brief rally shortly after.

In the Eurozone a poll today has put French Presidential candidate Emmanuel Macron ahead in the polls which has proven to be a boost for the Euro. There has been a huge amount of volatility for the Euro as the prospect of a Marine Le Pen win is a damaging prospect for the European Union and also the Euro. There is going to be considerable volatility over these next couple of months as the Dutch and French elections rapidly approach.

If you would like further information on sterling or Euro exchange rates or any of the major currencies and to discuss how we can assist then please feel free to contact me on 0044 1494 787 478 and ask one of the team for James. Alternatively, I can be emailed directly on jll@currencies.co.uk

Pound to Euro exchange rates beginning to weaken as we journey into the weekend (Joshua Privett)

Whilst the above states the Pound is weakening, I would urge that this is a marginal movement, something which we have become accustomed to in recent weeks.

The negative trend is -0.18% as I type this, but movements on Friday’s have been prone to be detrimental to Euro buyers in the past. This is because investors seek to even out the risk in their portfolio as they head into the weekend, as a result, some of the less stable currencies tend to lose out in these situations.

Whilst markets are closed over the weekend, markets do still move in the period between 6 (when most traders leave their desks) and late evening, when North American markets are still open an trading. No-one wants to be caught out in the open as it were with the exchange rates, and, as such, stable currencies are bought up in droves. Early indications this morning, with the Dollar rising and the Pound falling, suggests this weekend may be no different.

The Pound tends to suffer the most as well, particularly given that large amounts of news are released over the weekend on the political spectrum, with commentaries from leading politicians in the UK and across the Channel over the Brexit topic governing exchange rates heavily. Euro buyers may be wise to seize current levels as they are now.

If you are planning to make a currency exchange involving the Pound and the Euro, it’s well worth your time getting in contact with me on jjp@currencies.co.uk in order to ensure you make a well informed decision on when to make that particular transfer, as well as benefiting from highly competitive exchange rates from one of the UK’s leading foreign currency brokerages. Just provide me with a basic outline of your currency requirement and I will be back in touch with you as soon as possible.

You can also call in and ask reception to speak with Joshua on 01494 787 478.

Brexit Amendment weakens Sterling (Daniel Johnson)

The House of Lords voted yesterday in favour of protecting EU citizens rights who are residing in the UK. The pound suffered as a result as this could potentially delay the invocation of article 50.  The PM  has however made reassurances that this will not cause a delay in an official exit from the EU.

Personally I am surprised the market reacted in this fashion. I am not surprised this amendment was made and I would not expect it to delay the triggering of article 50.

The brexit bill will now be handed back to the House of commons for approval. I doubt there will be much resistance. If more amendments are made however we could see political ping-pong as the bill passes back and fourth between houses.

Between now and the triggering of article 50 the markets will be extremely difficult to predict. If you have to trade during this period it is vital to be in touch with an experienced broker. If you would like my no obligation help drop me an e-mail at dcj@currencies.co.uk. Let me know the currency you are trading, your time scale and a ball park figure as to the size of your trade and I will endeavour to provide a trading strategy to suit your individual requirement.

After the invocation of Article 50 I expect Sterling to gain strength. Sterling’s current position is due to the uncertainty surrounding trade negotiations, when there is more clarity in regards to trade deal I am confident the pound will gain momentum. Morgan Stanley analyst are of the same opinion, stating “the pound is the most undervalued currency in the world and it will return to pre-brexit levels.

The Euro could be in for a rough year with three general elections with the possibility of far right parties gaining power and the chance of referendums. Add in Greek debt and Italian Bank’s bad loans in excess of €360bn and we could be seeing the Euro in a much worse position later in  the year.