GBP/EUR stuck at pivotal point of 1.15 – Will rates break above or head back down?

Sterling is currently sat around the 1.15 mark against the Euro and appears to be fairly range bound as we head towards the end of the trading week. Yesterday saw the most volatility for the pairing that we have seen this week following the European Central Bank interest rate decision and press conference, this led to a little Euro weakness and Sterling moving back up through 1.15.

This rise was short lived however, as profit taking knocked the pound back below 1.15 and now we appear to be sat at a pivotal point for where GBP/EUR exchange rates will head next. This morning we have growth figures released for the U.K and this will be the first set of GDP (Gross Domestic Product) figures for quarter 1 of 2018.

Expectations aren’t great for this data set due to the extremely poor weather that we had in the U.K in the early part of the year. Cold snaps and lots of snow ground the U.K to a halt on more than one occasion which can only dent economic productivity.

The release is due out at 09:30am this morning so if you have a Euro exchange to carry out in the coming weeks then this will be key for you. This release will also impact on the Bank of England’s next interest rate decision on May 10th. members of the MPC are currently watching every U.K data release extremely closely and the chance of an interest rate hike is currently in the balance, if they go ahead and do it we may see Sterling strength, if they hold off then the Pound may weaken.

Should you be in the position that you need to carry out an exchange in the coming days, weeks or months ahead then it is well worth getting in touch with me personally as I can help you with your transfer. We do not only offer the highest levels of exchange but also an extremely efficient level of customer service too. Feel free to email me (Daniel Wright) on djw@currencies.co.uk and I will be more than happy to speak to you personally.

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