GBP/EUR has an up and down day – What does the week ahead hold?

Sterling started the day off on the front foot against most majors, getting up to almost 1.14 against the Euro only to drop away again over the course of the afternoon.

With a positive vibe around current Brexit talks and the chances of an interest rate hike in May for the U.K increasing, there are many reasons why investors would have an interest in Sterling once again.

Although Sterling has gained ground this year against most major currencies, it has struggled to make much ground up on the Euro, and comments from head of the European Central Bank earlier today suggested that Sterling will not make a huge impact on the Euro in the near term, not due to poor economic data from the Eurozone anyway.

Draghi mentioned that he felt growth in the area at present was stronger than he had anticipated, that he expects labour market conditions to continue to improve and that the relationship between inflation and growth had remained intact.

All in all this is fairly positive news for the Eurozone and this led to a little Euro strength, bringing GBP/EUR exchange rates back down below 1.1350 at the time of writing this post.

The most notable day of economic data this week will be on Friday, where we have Prime Minister Theresa May due to speak and address Britain on the current Brexit approach and situation. Investors and speculators will be hanging off of every work that is spoken throughout this for any hints on current plans or notable progression with talks.

This may lead to a volatile day for Sterling against the Euro so if you have an exchange to make in the near future be sure to keep a keen eye on the markets over the course of Friday.

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

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

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

For more news on foreign exchange rates and to request a free no-obligation quote visit www.currencies.co.uk