Tag Archives: buy euros

Italian Politics and a positive end to the week for the Pound

It appears as though Italian politics are causing the Euro a problem as the Pound has shown signs of improvement and even EURUSD exchange rates are close to their lowest levels in months.

Both the Italian parties the 5 Star Movement and Lega have both proposed plans to leave the EU in the future and this is clearly a cause for concern.

They have also suggested that they will look to increase pensions for older Italians as well as considering a plan to create an amnesty for some tax offenders in Italy.

Recently European Central Bank President Mario Draghi suggested that political tensions could cause problems for the Eurozone and therefore the single currency so a change in Italy could potentially cause a ripple effect in the months ahead.

Yesterday, the Eurozone announced Construction Output data and this showed a fall which caused the single currency to fall against the Pound providing a good opportunity this week to buy the Euro at its highest level.

Later on this morning the Eurozone will release the latest set of Trade Balance data and this will give us a key insight into how the economy on the continent is performing.

Overall, I think we could see a positive end to the week for anyone looking to buy Euros and I think the GBPEUR exchange rate may even break past 1.15 during today’s trading session.

Having worked for one of the UK’s leading currency companies for 15 years I am able to offer you bank beating exchange rates as well as helping you with the timing of your transfer.

For a free quote then contact me directly by calling 01494787478 and asking for Tom Holian when calling or email me directly with a brief description of your currency requirement and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

GBP EUR Strength – Will Rates Hit 1.15?

The pound has rallied against the Euro taking rates for GBP EUR to a high of 1.1451 today. The pound has actually seen a poor day against all of the major currencies the exception being the Euro. The pound has been supported against the Euro after positive employment and average earnings data performed well. Unemployment remains at 4.2% which sits at a 42 year low whilst average earnings overtook inflation, something the Bank of England has been very keen to see happen.

After the bank of England held interest rates last Thursday the markets are beginning to question when the next interest rate increase will happen. The expectation is for a rate increase in August by 0.25% taking levels to 0.75%. If all goes well with a Brexit and a free trade deal is in place then this should allow the Bank of England to hike again by another 0.25%. A move towards 1.15 is not unrealistic although there are some Brexit headwinds approaching which could see the pound fall.

Clients look to buy Euros could see some better opportunities if the economic data in the UK improves and there is an increase in Quarter 2 GDP. Strong data in my view will settle those fears that the slowdown is more deep rooted than just the Beast from the East cold weather front and could help lift the pound considerably.

In the short term though the markets are more interested in the more pressing issues of the Brexit negotiations and the hugely important vote in the House of Commons in the next few weeks.

The House of Lords have made a series of amendments that will attempt to keep Britain in the EU single market and customs union. If the government were to lose the vote there could be a series of political events that follow including the prospect of a new prime Minister and / or a general election. In my view this poses the biggest risk for the pound in what is already a very uncertain period. A change of government could put the pound on very shaky ground and clients with pending requirements would be wise to consider planning ahead of the key vote. There is likely to be a lot of market volatility at that time.

For more information on sterling or Euro exchange rates and assistance in making transfers at the best rates of exchange then please get in touch with me at jll@currencies.co.uk

GBPEUR remains range bound in the 1.13s

This morning the UK released their latest average earnings numbers and Europe released their latest GDP numbers and both economic data releases met the expectation. Due to there being no surprises GBPEUR exchange rates have remains fairly flat throughout the day. If anything the pound has made some minor gains against the euro and you could argue the fall in European production is the reasoning for this.

GBPEUR exchange rates have been gradually falling over the last 2 weeks since Governor of the Bank of England Mark Carney announced that the UK were unlikely to raise interest rates. With the central bank failing to hike last Thursday this story could have a major influence on the future of GBPEUR going forward.

UK economic data releases need to be watched closely if you are converting GBPEUR short term. Economic data for April was terrible, if we see a rebound now that the weather has changed the likelihood of a hike increases and therefore the pound should follow suit. However Brexit negotiations will also be a key driver for exchange rates.

UK Prime Minister Theresa May has warned Brexiteers today that she is not prepared for a no deal which would in turn create a hard border in Ireland. My opinion has not changed I would be extremely tempted to buy euros upfront as the Brexit story has the potential to crash the pound if the negotiations go horribly wrong.

For further information in regards to GBPEUR currency transfers 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 know if you are receiving the best rates possible 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! **

GBP Rates Before Bank of England Meeting

The Bank of England meet tomorrow for the next interest rate decision where it is expected that interest rates will remain on hold. After a series of weaker economic data the pressure is now firmly off the central bank from raising interest rates tomorrow. A combination of weak retail sales data, a drop in the performance of the services sector and most importantly the sharper fall seen in the Gross Domestic Product numbers all make for a valid reason for the Bank of England to not raise rates. Clients looking to buy Euros may wish to consider moving before the event to avoid potential disappointment.

UK GDP for the first quarter arrived at just 0.1% indicating the lowest growth in the UK in five years. The cold weather brought from the Beast from the East is the main contributor to the weaker data but there hasn’t been a bounce yet which could restore some calm to the markets.

The pound could see a small rally if the central bank indicates that it is still set for additional hikes later this year. However in my opinion the Bank of England are more likely to highlight risks to the British economy especially when considering the continuing Brexit negotiations.

For the Eurozone the European Central Bank President Mario Draghi will be speaking tomorrow and he may offer some more clues as to future monetary policy. He has recently cited low inflation as a reason to continue with its asset purchasing scheme which has proved negative for Euro exchange rates. For the moment the central bank is continuing with the tapering of the vast asset purchasing scheme and more of this rhetoric should prove negative for Euro exchange rates.

For more information on sterling exchange rates and the Euro and how to take advantage of any spikes in the currency markets then please get in touch with me at jll@currencies.co.uk

Will GBPEUR exchange rates rise or fall by the end of the week?

With GBPEUR exchange reaches back above 1.14, it seems like a good time for euro buyer to take advantage as I expect the pound could come under pressure on Thursday when the Bank of England announce their latest interest rate decision.

The chances of a rate hike have dropped to 20% from 80% according to Lloyds and the reason for the fall is that UK economic data released last month disappointed. Retail sales, inflation and GDP all dropped significantly and recent Brexit developments are also putting pressure on the Bank of England’s decision.

Governor of the Bank of England Mark Carney has stated over the last 18 months that Brexit developments will influence monetary policy, and with the House of Lords on a weekly basis heavily criticizing the Government, UK Prime Minister Theresa May appears to be stuck between a rock and a hard place. It was only this afternoon the House of Lords stated the UK should remain part of the single market.

My personal opinion is that the Bank of England will keep interest rates on hold and the Governor Mark Carney will continue with his stance that a hike is likely to occur this year, however he will not confirm when and this will cause the pound to lose further value.

To finish the week all eyes will turn to the ECB and President Mario Draghi’s speech. Every time the President speaks, investors are watching closely for guidance in regards to the QE program. Time is running out for the President as he will want to give the markets as much time to adjust and the plan was to cut the QE program by the end of the year. This story has the potential to have a major influence of GBPEUR exchange rates moving forward.

For further information in regards to GBPEUR currency transfers 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 know if you are receiving the best rates possible 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! **

 

 

 

Bank of England now less likely to raise rates and the impact on GBPEUR rates

The Pound has once again struggled to make any gains vs the Euro and we are now just a week away from the Bank of England’s next interest rate decision due to be held on 10th May.

Only a fortnight ago the price to buy Euros had hit its highest level since May 2017 almost breaking past 1.16 but since then we have seen a 3 cent drop on GBPEUR exchange rates as it appears now much less likely that we’ll see a rate hike coming next week.

UK GDP data for the first quarter of 2018 came out late last week at the slowest pace since 2012 and this appears to have decreased the chances of a rate hike coming in the near future.

Inflation is still high at 2.5% which fell quicker than expected and although it is falling it is still higher than the target which is 2%.

With this in mind I don’t think that the Bank of England will completely rule out an interest rate hike but I think owing to the recent poor economic data then I think next week’s decision could be to keep rates on hold and therefore the Pound could fall further.

The Brexit is still causing global investors to shy away from Sterling at the moment and with the Eurozone GDP data higher than the UK then I think we could see a rocky road ahead for the Pound vs the Euro.

Having worked in the foreign exchange industry for one of the UK’s longest established currency brokers for 15 years I am confident of being able to help you save money when buying currency as well as helping you with the timing of your currency purchase.

For further information or for a free quote then contact me directly by sending me an email and I look forward to hearing from you.

Tom Holian teh@currencies.co.uk

GBP EUR Moves Higher after Weaker EU Manufacturing Data (James Lovick)

The pound remains close to some of the highest levels we have seen against the Euro in the last months creating a good opportunity for those clients looking to buy Euros. UK politics is still going to the big driver for sterling exchange rates in these coming weeks and months with the main topic of Brexit dictating the direction of travel. The pound has been boosted considerably against the Euro now that the second round of the Brexit negotiations have been concluded which covers the transitional arrangements for after when Britain leaves the EU in March 2019.

However the issue of a customs union is still to be decided and there have been reports that the UK Prime Minister Theresa May could be considering remaining in the Customs Union. However there are members of the House of Lords that would like to see the UK remain in the EU’s Customs Union and there was a majority that voted in favour last week. The government’s response is that Britain will not be staying in the Customs Union but there is still likely to be considerable volatility for the pound as Theresa May does not command a large enough majority to safely push her vision of Brexit through. There are a number of politicians within the conservative government that will vote against Theresa May which could result in a high degree of political uncertainty if tensions rise considerably.

The Euro has is also starting to come under a bit of pressure after it was reported yesterday that manufacturing in the EU has fallen to its lowest level in 14 months. Manufacturing data released yesterday as per the Purchasing Managers Index fell to the lowest levels in 14 months. Any further deterioration in EU economic data could help see the pound push higher against the Euro with a move towards 1.18 a real possibility despite the usual Brexit concerns.

For more information on Euro exchange rates and how to maximise on these developments which create better opportunities then please get in touch with me James at jll@currencies.co.uk

Will the GBP/EUR rate breach 1.16 this month, and what’s causing the Pound to gain in value?

Sterling has performed well once again today, gaining by almost half a percent against the Euro and almost hitting 1.16 at its highest point.

Sentiment surrounding the UK economy and the Pound’s value moving forward has been improving recently, as the economy and a number of important stumbling blocks have been passed. Hopes of an interest rate hike from the Bank of England next month have jumped to the extent that the hike is almost set in stone. The BoE has hinted on numerous occasions that the rate hike is on the cards so I actually think that the interest rate hike has already been priced in so I’m not expecting to see a jump in the rate if it actually takes place. The risk is perhaps more to the downside as if there is no hike I think the Pound will fall.

The Brexit transitional agreement has already been agreed which is another reason for the stronger Pound. Moving forward there is the issue surrounding the Northern Irish border and I think this may pose a threat to a stronger Pound as the year goes on.

This week there will be the release of wage growth for the UK. This is a key area as wage growth had lagged inflation but now it’s expected to overtake the inflation level and therefore firm up the BoE’s interest rate plans. If you would like to discuss this economic data release in more detail do feel free to get in touch.

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.

 

GBP EUR Reaches Fresh Highs – 1.16 in Sight

The pound has rallied to fresh highs against the Euro with levels for the GBP EUR pair trading just below 1.16. There is currently an excellent opportunity for those clients looking to buy Euros with some of the best levels seen in the last 9 months.
The mood on Brexit is feeling considerably more optimistic and the fact that key figures from with thin the EU and notably from Germany have signalled that London will still remain the financial centre for the EU are in my view helping lend support to the pound.

Clients looking to buy Euros would be wise to consider securing at these higher levels whilst they are still available as there is still a long way to go on Brexit. The trade negotiations which will cover the future trade relationship between Britain and the EU will start next week and any noises are likely to see considerable volatility for GBP EUR. The trade element is believed to be the most difficult to reach agreement and if negotiations move forward badly then the pound is likely to fall.

The European Central Bank (ECB) next meet 26th April and there is likely to be considerable volatility around this time. The ECB should give more clarity as to when the ECB will conclude the tapering of its asset purchasing scheme and may look to signal when the first interest rate increase may happen. UK data next week however will be more pressing with the release of UK unemployment numbers as well as inflation data. Strong numbers here could help drive the pound higher although politics in my view has been lacking of late and so it should only be matter of time before the markets start reacting again to British politics.

For more information on Euro exchange rates and assistance in making transfer when either buying or selling Euros then please get in touch with me at jll@currencies.co.uk

Pound to Euro rate hits a 7-week high before BoE meeting (Joseph Wright)

Sterling has been strengthening throughout the week after news of the Brexit transitional deal being agreed has been met well by the markets.

It will be interesting to see whether the GBP/EUR pair can break above 1.15, because at the moment they are trading comfortably in the 1.14’s and these are around the highest levels for the pair going back as far as June. The 1.15 mark appears to be a ceiling for the pair so far, but there are a number of potential market movers that could push the pair higher.

Later today the start of the EU Summit in Brussels will begin, and the Brexit is expected to be a key talking point for those attending. As previously mentioned the most recent Brexit news boosted markets but it will be interesting to see whether any further commentary this week will affect the GBP/EUR rate. I would imagine that suit sentiments change the Pound will fall as it’s trading at the top end of its current range.

The increase in wage growth has also increased the chances of a rate hike from the Bank of England later this year, with many economists pencilling in May as the next time the Bank of England will opt to make the adjustment.

Some economists even believe that there could be two rate hikes which would most likely result in a stronger Pound as well.

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.

GBP EUR Pushes Higher over 1.13

The pound has made some small inroads against the Euro with rates for the GBP EUR pair breaking over 1.13 this morning. The mood has been slightly positive following the Spring Statement from Chancellor of the Exchequer Philip Hammond earlier this week which has helped support the price of sterling. The upbeat speech certainly didn’t provide any reason to sell the pound and if anything provided some reassurance that the economy is still healthy.

The markets are now eagerly awaiting the EU summit 22nd/23rd March where the transitional arrangements for Brexit are likely to be agreed and finalised. This is widely expected to go through without any hitches and could see some relief for sterling exchange rates. However any gains are likely to be limited considering the much harder task of future trade must be negotiated which is expected to commence at the end of this month. The pound could come under pressure here against the Euro if both sides start with strong red lines and if an agreement seems unlikely. Any risk of a no deal scenario is likely to see the pound come under considerable pressure and cannot be ruled out at this time.

My view is that in the medium term should an agreement be reached that works well for both sides then the pound could see strong gains against all of the major currencies including the Euro. Those clients hoping for better opportunities to buy Euros would be wise to consider taking advantage of any spikes as they happen as there are likely to be many new developments over Brexit that are both positive and negative which the pound will almost surely react to.

Economic data is light today for both the UK and the EU although a speech from a European Central Bank member this afternoon could help shape the future direction of the Euro. Tomorrow however should be more interesting on the data front with EU inflation day. Any pick up in in inflation will almost certainly help boost the Euro.

For more information about sterling or Euro exchange rates then please get in touch with me James at jll@currencies.co.uk

EU summit to have major influence on GBPEUR exchange rates

Yesterday GBPEUR exchange rates spiked close to 1.13 off the back of the Spring budget update. Chancellor of the Exchequer Philip Hammond, as expected, announced that the Office for Budget Responsibility (OBR) have increased growth forecasts for the next 12 months up to 1.5%. Interestingly the OBR actually only cut the growth forecast from 1.5% to 1.4% at the Autumn budget, which shows the UK economy has performed well over the last 6 months.

For people that are converting pounds into euros or euros into pounds, over the last 3 months exchange rates have been range bound by roughly 3 cents. On a daily basis we are receiving positive and negative news from the UK and EU. For example, Brexit updates are varied, European growth is fantastic however there is a concern due to the Italian election result, so it just shows why GBPEUR exchange rates are up and down like a yoyo.

As a currency trader, it is my responsibility to keep my clients informed about market movement. For most people that are converting GBPEUR, they will be working throughout the day and do not have the time to watch exchange rates and that’s where I come in. If you want help in regards to timings and also to receive fantastic exchange rates feel free to email me directly drl@currencies.co.uk.

Looking ahead the EU summit next week has the potential to have a major influence on GBPEUR exchange rate. The UK had planned to have had the transitional deal sorted before the summit therefore we should expect a few announcements surrounding the transition over the next 7 days. Furthermore, exchange rates will fluctuate next week and it all depends on what is actually said. I’m optimistic that the EU will allow the UK to start discussing trade early next month and therefore I wouldn’t be surprised to see GBPEUR reach the higher end of the 3 cent range we have been experiencing over the last 3 months.

Spring Statement and the impact on Pound Euro rates (Tom Holian)

Sterling Euro exchange rates have made a positive move during today after a difficult few days last week when GBPEUR exchange rates hit their lowest point to buy Euros in 3 months.

Chancellor Philip Hammond is due to hold the Spring Statement tomorrow and although the main topics will be covered in autumn this could cause some volatility for the Pound vs the Euro during tomorrow’s trading session.

According to some sources the budget deficit for the UK is the smallest in over 15 years with Hammond commenting that ‘there is light at the end of the tunnel.’

The debt is currently 86.5% of GDP and this is clearly higher than the UK government would like so things will need to be done in order to reduce the amount.

There is however a clear risk to what is happening with the latest Brexit talks and with the EU summit due to take place on 22-23 March I think this is really what the currency markets are waiting for.

As yet the transitional period which takes places between March 2019-December 2020 has not yet been formally agreed so things are still very uncertain for what will happen next between the UK and the European Union.

Make sure that if you’ve got a currency transfer looming that you’re prepared for how the market may move during the Spring Statement due at 1130.

For further information about what is happening with Pound Euro exchange rates at the moment and if you need to make currency transfer then contact me directly for a free quote and I look forward to hearing form 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 transfer.

Email me directly Tom Holian teh@currencies.co.uk

Factors impacting GBPEUR exchange rates

As always Brexit negotiations continue to drive GBPEUR exchange rates and at present GBPEUR has reached a key support level. Over the last 8 weeks every time GBPEUR has reached 1.12 we have seen the pound strengthen against the euro? The question is will this trend continue this month?

Negotiations are on going and UK Prime Minister Theresa May is asking for a bespoke trade deal with the EU, however Michel Barnier keeps reiterating that a bespoke trade deal is another phrase for cherry picking. If the transitional deal is reached this month and trade talks start early next, I expect the pound will make gains against the euro and reach the highs we were experiencing earlier in the year.

Politics in Europe are also having an impact on GPBEUR exchange rates. The good news for the Euros is that Angela Merkal has secured her position as Chancellor of Germany. However with a hung parliament in Italy at the moment and far right party 5-Star receiving the most amount of votes, people in Italy are questioning whether they should have a referendum like the UK. This story has the potential to have a considerable impact on euro exchange rates, nevertheless with 5 Star stating they will not work with any other party, it looks like a coalition could be formed by Northern League and Forza Italia.

This week the key data releases to look out for is the ECB’s interest rate decision Thursday afternoon. Interest rates are set to remain on hold, however any hint to the tapering of the quantitative easing program could strengthen the euro. The ECB have showed concern recently that the euro is overvalued due to the devaluation of the US dollar. Therefore I expect the statement by President Mario Draghi to not give to much away and therefore the euro to remain buoyant and against the pound.

For further information in regards to GBPEUR exchange rates 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 the options available to you and the process of using the company I work for 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 know if you are receiving the best rates possible 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! **

Will the Pound to Euro rate manage to break out of its current trend? (Joseph Wright)

The Pound to Euro exchange rate has been trading within quite a thin range for some time now, as the pair have failed to break out of the 1.12 to 1.1450 trading range significantly for some time now.

Sterling has struggled to rise above the 1.15 mark since June of last year, so those of our readers following the rates hoping for good times to make their transfer should consider that GBP/EUR is still towards the top end of its trend.

In order for our readers to base their trades off of levels in the 1.15’s, they will need to see Sterling improve to levels not seen for some time.

Friday could be the busiest day for GBP/EUR exchange rates this week due to the high volume of data set for release as well as a number of key persons set to speak. It’s day’s such as this that can result in a break out of a long term trend so those planning on making a transfer should consider planning around busy days of economic data. This is something we can help with so do feel free to get in touch if you wish to discuss this further.

There will be construction data released at 9.30am on Friday, and both Theresa May and (UK PM) along with the governor of the Bank of England (Mark Carney) will be speaking so expect any new Brexit breakthroughs to result in movement for the GBP/EUR exchange rate.

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.

UK politics to dictate GBPEUR exchange rates this week

Towards the end of the week, I am expected major volatility for GBPEUR exchange rates and we could see the upper or lower resistance levels tested. GBPEUR exchange rates have been range bound between the high 1.13 and low 1.11s over the last 8 weeks. UK Prime Minister is to hold talks with the full cabinet on Thursday and then will address the UK public on Friday in Newcastle.

Reports are suggesting there is a threat that 15-20 Tory rebel MPs could actually defeat Theresa May and her approach to leave the Custom Union by joining with Jeremy Corbyn. This must be a serious worry for the PM and personally I cannot see it happening, but it just shows how tricky the meeting will be on Thursday. If there is no agreement what can she actually say on Friday that we don’t already know?

This Thursday Theresa May will meet with the full cabinet to discuss Brexit, quite similar to the meeting last Thursday at the Chequers retreat. However Foreign Secretary Boris Johnson has waded in and stated that he will not allow Conservative MPs to ‘water down’ the plan that was agreed at the Chequers meeting last Thursday.

You have to feel for the Prime Minister as it seems she has an impossible task. Half of the country want to remain half want to leave and this seems the case with her Conservative party. Therefore I expect to major volatility with GBPEUR exchange rates towards the end of the week and it could go either way. If you are not willing to gamble on the releases then I would recommend getting in touch today and I will offer you our live buy or sell price.

My direct email address is drl@currencies.co.uk. Typical clients I look after are people that own businesses or people that are buying or selling properties either in the UK or Europe.

 

GBP EUR Falls on Weaker Unemployment Data

The pound has slipped from the spike seen yesterday after UK unemployment surprised the markets with a weaker headline figure. Rates for GBP EUR are currently sitting at 1.1330 for the pair having fallen lower after the headline UK unemployment figure rose to 4.4% from 4.3%. Unemployment unexpectedly rose from in the last quarter and represents the sharpest increase in the headline figure for almost five years. Although unemployment is still extremely healthy it is still a sign that there the economy is seeing some small cracks emerging and the fear is that economic growth may start to falter. It also lends support to the view that the Bank of England may not be so keen to raise interest rates which it signalled last week.

The pound had see a good jump higher on the back of Brexit comments suggesting the EU would be prepared to look at an exclusive arrangement for single market access although any gains gave proven limited.

UK Gross Domestic product figures are released tomorrow morning and could create even more volatility for sterling exchange rates. Any drop in the numbers is likely to be seen as negative for the British economy and hence the price of sterling. The important numbers are released at 09:30 and any clients looking to buy Euros or sell Euros would be wise to be in touch around the event to avoid potential disappointment.

The Euro is also likely to see major volatility on the back of the ongoing German political situation. A vote by members of the Social Democratic party will be eagerly awaited and could see the Euro react if there is no agreement on the formation of the grand coalition.

To discuss how the pound is likely to be impacted by these events and how to try and maximise on the rates of exchange as they happen then please get in touch with me at jll@currencies.co.uk

What to expect for GBPEUR exchange rates moving forward?

In recent weeks GBPEUR exchange rates have come under pressure once more due to the developments surrounding Brexit. Head EU negotiator Michel Barnier told the press last week that the transitional talks have broken down and if the UK and EU cannot come to an agreement then the likelihood is there wont be a transition.

No suprises the uncertainty sent the pound tumbling from the 1.14 highs and GBPEUR exchange rates are now floating in the 1.12s. Good news for any client selling euros to buy pounds.

Looking further ahead UK Prime Minister Thersa May is set to address the public on Saturday. This speech will be watched closely by any person involved with the pound and Conservative MPs. It was only last weekend Pro European Conservative MP Anna Soubry warned that MPs could rebel against the PM if she decides to take a hard Brexit approach.

Personally I expect the transitional talks to continue to put pressure on the pound and exchange rates could fall back towards 1.10 in the upcoming 4 weeks. However, I expect the deal will be reached between the UK and EU which will pave the way for trades talks and therefore GBPEUR will improve back to the highs we experience earlier this month. If my predictions materialise then there may be opportunity for both euro buyers and sellers.

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!

 

GBP to EUR rate begins the week flat, will this week bring direction for the pair? (Joseph Wright)

After a very busy week for Sterling exchange rates last week, the Pound has begun the week in a quiet fashion with GBP/EUR trading exactly flat on the day at the time of writing.

Those watching the GBP/EUR rate should be aware that the pair reached the top end of their medium term trend last week after hitting 1.1450, and that it’s not unusual to see the pair dip shortly after hitting the 1.14/1.15’s as many within the markets don’t think the pair can breach this mark and push on into the later teens.

The lower end of the trend since the summer of last year is well below 1.10 at the 1.07/1.08 mark, so the pair are still trading towards the top end of the medium term trend.

It’s Brexit related news that’s continuing to be the main driver of GBP exchange rate movements at the moment. Last week’s spike up to 1.1450 was a result of bullish comments from the Bank of England so those hoping for another opportunity to trade around those levels should pay attention to comments from the BoE. Do feel free to register your interest with me if you wish to be notified in the wake of a big move for GBP exchange rates.

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.

GBP EUR Falls Lower as Brexit Discussions Resume

The pound has fallen further today against the Euro with rates falling to a low of 1.1219 before picking up some lost ground in afternoon trade.
The driver for the weakness in the pound is largely as a result of Brexit uncertainty and this week holds a number of important government cabinet meetings which could provide more clues as to where Brexit is heading.

The Brexit negotiations which have resumed this week haven’t started on a particularly optimistic outlook with question marks surrounding the single market and whether or not Britain will have access to it. The other sizeable issue of course is whether UK financial services will be included in any deal and considering services represents 80% of the British economy.

We are likely to see a lot of volatility for GBP EUR as developments unfold surround the terms of any deal. The prospect of a no deal scenario is also a worry for those clients holding sterling who are looking at buying Euros. Those clients who need to sell Euros would be wise to get in touch and consider taking advantage of the recent fall in the price of sterling against the Euro.

Focus now moves to the Bank of England interest rate decision on Thursday which could result in an even more volatile end to the week. Any positive noises from Mark Carney or any suggestion that interest rates will in fact rise later this year could help see the pound rally although my view is that Mark Carney will be relatively tight lipped at this meeting. Any discussion on Brexit however could see market volatility and this is a subject the Governor has been known to wade into.

To discuss how these key events this week are likely to impact on your own individual currency requirements then please feel free to get in touch with me at jll@currencies.co.uk