Tag Archives: exchange rates

What will happen on GBPEUR for the rest of January?

The pound to Euro rate has been trading in a very tight range for the last few weeks with a high to low variation of 1.12-1.1360. This is presenting a good time of consolidation for clients looking to buy and sell Euros to make plans surrounding better times to look at any currency exchanges. What is definite is that the rate will not stay like this forever and sooner or later we will see a change.

Key events will focus on the European Central Bank (ECB) meeting next Thursday 25th January. Investors will be closely monitoring any changes we might see in the economic policy of the ECB which might see a shift on the Euro. Overall expectations for the Euro centre around the reduction in their QE program and possibly the prospect of raising interest rates.

The Bank of England will meet in February, general impressions are that the pound will continue to rise if they do raise interest rates but this might not be until much later in the year. The UK has now falling inflation which would actually see the pound falling as it removes the pressure on interest rate hikes.

GBPEUR has been trading in a range of 1.10-1.145 since October so the prospect of any major deviation from this is limited. I would personally be expecting GBPEUR to remain this kind of range for the end of January. Most prospects for the future focus on the outlook on the pound to Euro rates remaining at these more favourable levels for Euros buyers.

If you have a transfer to consider in the future then making plans in advance is key to maximising the position. For more information at no cost or obligation on the best strategies to maximise your position please contact me Jonathan Watson by emailing jmw@currencies.co.uk.

EU summit to take centre stage

Tomorrow and Friday EU officials will meet at the EU summit in Brussels to discuss everything that is impacting the Eurozone at present but the main focus will be the Brexit negotiations.

In recent weeks the UK and EU have come to a gentleman’s agreement in regards to the divorce bill, EU citizens rights and the Irish border. Nothing has been finalised however Michel Barnier has announced that stage 2 negotiations can now begin.

At the EU summit all of the EU leaders should confirm Mr Barnier’s thoughts which could give the pound a further boost against the euro. However as news broke last week that a deal has been reached i’m not expecting to see major fluctuations. In fact I would expect that GBPEUR breaks through and sits above 1.14 by the end of the week.

It’s quite clear to see that the UK and EU officials are trying to come to an agreement in regards to Brexit, and therefore I am optimistic the pound could continue its recovery against the euro in the early months of 2018.

For clients that are converting euros into pounds a €200,000 transfer generates you an additional £25,000 now compared to Pre Brexit levels. Personally I wouldn’t take the gamble any longer and would look to sell my euros and buy sterling as soon as possible.

The other key economic event that will impact GBPEUR exchange rates this week is the Bank of England’s interest rates. The Bank of England will keep interest rates on hold at 0.5%, however as inflation has risen to a 6 year high, the minutes should outline how the central bank plan to tackle the worrying high levels.

If you are buying or selling euros this year, today is the day to get in touch. Many people still believe the only way to transfer large amounts of money is through the bank and this is not the case. The company I work for enables me to give better exchange rates than high street banks which consequently means the individual saves money.

I would recommend emailing me with a brief description of your requirements and your timescales (this is very important, the length of time you have will change your options) and I will email you with my strategy and the process of using our company 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! **

GBPEUR spikes above 1.13

Overnight key Brexit developments have been made and euro buyers have reaped the rewards with exchange rates spiking from the lower 1.11s to the lower 1.13s. Reports are suggesting that the UK has offered €50bn as a divorce settlement which equates approximately to £44bn. No agreement has been made however it appears that the EU have welcomed the figure which in my eyes is a break through in the Brexit negotiations.

In recent weeks the amount of euros the UK would pay the EU as a divorce settlement has been the sticking point. Early this year the UK were suggesting they wouldn’t pay a penny to leave the EU and the EU wanted €100bn. It just shows developments have been made.

The next question is what next? This development shows quite clearly that the UK and EU want to eventually come to an agreement and I am optimistic that this will eventually happen. However the Irish border could be the next sticking point as Northern Ireland have stated they do not want a hard border.

On the 14th and 15 of December the EU will decide whether trade negotiations can begin. If enough progression has been made I expect the pound could continue to rise against the euro.

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 GBPEUR keep on rising?

The pound has finally bounced back against the Euro as weakness and uncertainty in the German political situation opens the door to a more unsettled Euro. The prospect of a second election or Angela Merkel stepping down as Chancellor has seen the Euro undo many of its gains over the last few weeks. What lies ahead for the German Chancellor and how could this influence the Euro?

I expect that there will either be fresh German elections or that Merkel will be forced to step down in order to allow a fresh coalition. It appears that the outlook for the GBPEUR is now much better for clients looking to buy Euros with pounds, we have seen the rate rise above 1.13 this morning.

News that the UK is agreeing a Brexit bill of up to £40bn is also helping the pound which is now benefiting from some of the uncertainty in Germany. With the Spanish Catalonian election next month and then the Italian election next year the outlook for buying Euros has suddenly improved. If you have a transfer buying Euros then making some plans around this potential rise is a smart move since Euro buyers have not had a huge amount to cheer in recent weeks!

We are close to the best time in 3 months to buy Euros with pounds and the rate could rise even further depending on the way the market is going. Overall impressions of the rates are that of course sterling could come under renewed pressure owing to Brexit but for now the tide has turned. Euro buyers should not be too greedy but should be carefully making plans around this improvement.

For more information at no cost or obligation please speak to me Jonathan Watson by emailing jmw@currencies.co.uk. Thank you for reading and I look forward to hearing from you in the future.

 

Pound to Euro rate improves after German PM Merkel’s future looks uncertain! (Joseph Wright)

The Euro dropped in value today after Germany, the engine room of the EU is currently facing a political crises with many political commentators calling it the biggest crises of current Angela Merkel’s tenure.

Late on Sunday exploratory talks broke down between her Christian Democrats, Bavaria’s Christian Social Union and the Liberal Free Democrats broke down, ruling out an obvious path for Merkel to form a coalition government.

With German coalition talks collapsing it’s not surprising to see the Euro fall, as political uncertainty tends to weigh on the underlying currency.

An issue for the UK moving forward may be a pause to Brexit negotiations due to Merkel’s issue, but as it stands the GBP/EUR rate has benefited from the headline grabbing story.

At the same time the Pound opened the week strongly against all major currency pairs after speculation regarding the UK’s Brexit Bill continues. The current rumours suggest that the bill will increase to £38bn and the Pound has been boosted off the back of this news as if it’s true, it may clear the path for Brexit negotiations to progress.

If you’re following the GBP/EUR pair because you have an upcoming currency requirement involving the pair, feel free to get in touch and register your interest.

This week the Autumn Budget will take place so there could be movement, so this event is certainty worth watching.

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.

Bank of England interest rate decision looming (Dayle Littlejohn)

The Bank of England meet today to announce the latest interest rate decision, and forecasters are suggesting that an interest rate hike will occur. If the Bank of England decide to raise interest rates this will be the first hike in 10 years and the likelihood is that GBPEUR exchange rates will receive a further boost. Personally I expect GBPEUR exchange rates to break through 1.1450 if the central bank raises by 0.25%.

However if the central bank disappoint and fail to live up to their own hype, I expect the pound could plummet like a stone and GBPEUR exchange rates  could drop 1-2%. To summarise I think buying euros will become a little cheaper or become a lot more expensive.

After the decision the Governor of the Bank of England will address the public in regards to the monetary policy committee decision. For new readers the Governors words have the potential to shift exchange rates by the matter of cents, therefore keeping a close eye on his wording is important. Unfortunately for many of my clients they haven’t got the time to watch Mr Carney’s speech this afternoon and that’s where I come in. If you are buying euros short term and would like to be kept up to date with today’s announcements feel free to get in touch.

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 GBPEUR rise or fall on the Bank of England decision?

The Bank of England meet tomorrow to discuss their latest interest rate decision which is predicted to see the pound higher but there are no guarantees! The pound has already been rising against the Euro, the Euro itself weaker from the outstanding problems in the Catalonia region of Spain. GBPEUR will largely be driven by the Bank of England decision at 12 noon, plus the commentary after. GBPEUR could be in for a very busy day so if you need to buy or sell Euros getting in touch sooner than later could be best!

Overall the pound is stronger as markets are pricing in positive news but there could easily be surprises along the way. If you have a transfer to make then we could easily see some improvements for the pound but with much of the good news priced in for the pound we will need to see some very positive news to see a big change.

With much of the good news priced in, the scope for disappointment is high. Expectations are set for the Bank of England to raise rates but if they don’t then the GBPEUR level could easily slip and probably come down by as much as 2-3 cents. On good news however it may only climb a cent. Currently GBPEUR is at the best rates in 3 months so if you need to buy Euros gambling on further improvements carry risk!

If you are looking to buy or sell the pound against the Euro in the future then please make sure you are up to date with the latest trends and themes on the market. I am a specialist currency broker here to help with the planning and execution of any transfers that you will need to make in the future. Thank you for reading and I look forward to hearing from you!

Please email me Jonathan on jmw@currencies.co.uk to learn more.

Rate hike expectations pushing up the Pound, will this trend continue? (Joseph Wright)

The Pound has continued to climb against the Euro in the lead up to this Thursday’s interest rate decision by the Bank of England.

It will be at 12pm tomorrow when the decision will be announced and markets are expecting to see the base rate hiked by 25 basis points to 0.5%. This will be the first hike in 10 years if it goes ahead and likely to make financial headlines, although should it go ahead like many expect I think there will be quite a muted response by markets as the hike is already being priced in to the Pound’s value.

I think the risk lies in the not being a rate hike, as the Pound would be likely to fall quite dramatically due to there being many disappointed investors as well as speculators quick to try and take advantage of the fall.

For those of our readers planning an upcoming currency exchange involving the Pound, and hoping the expected rate hike will make the Pound gain more value I would be weary as due to the expectations of it happening I personally think it’s unlikely there will be much market reaction.

If you wish to be updated should there be any major movement do feel free to register your interest with me, as working on a trading floor allows us to react instantly to market movements.

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.

Will GBPEUR rise or fall on the UK and Eurozone Interest rate decisions?

The GBPEUR rate has been very volatile lately and uncertain as markets try to digest which direction rates will take in the coming weeks. Overall sterling seems to be on the back foot but we have risen sharply from the lows of 1.07 a few weeks ago, today’s positive GDP (Gross Domestic Product) data is also a big help for the pound.

I do not feel the pound will however just keep rising, tomorrow ECB’s news will be the main driver for the rest of the week, I see around a 70% chance of Euro strength, 30% Euro weakness. This is all based on the fact that the Euro has really been finding favour in 2017 as investors back the Eurozone economy and political situation.

However the latest political uncertainty with Spain, Germany and Austria has unsettled the rates and further weakness down the line could not be ruled out. Longer term weakness on the Euro does seem a real possibility, particularly since the pound has found some form with an improving economy and some certainty over the outcome on Brexit.

If you are making a transfer in the future making plans in advance is key and tomorrow’s news could be a big market mover. I would not be surprised to see some swings of up to 2 cents in either direction as markets digest the latest trends and news on the rates. If you have a transfer to make involving the pound or Euro then tomorrow’s ECB meeting will be important, as will next week’s UK interest decision.

Leaving everything until the last minute is generally not a good idea on the currency markets as it can prove a very costly and stressful situation. Understanding your options and the market is usually the best way forward, for more information at no cost or obligation please speak to me Jonathan Watson to learn more.

Please email me Jonathan Watson on jmw@currencies.co.uk with a brief overview of your position and I can help to provide some information on the best way forward.

GBPEUR to fluctuate 5% in the upcoming months (Dayle Littlejohn)

Brexit negotiations seem to be heating up as both parties have promised to accelerate negotiations therefore I am expecting major volatility with GBPEUR exchange rates. 

Rewind the clock to the end of July, many of the leading banks were predicting by the end of the year parity for GBPEUR exchange rates, however UK interest rates gave the pound a boost which has led to Banks re thinking their forecasts.

At the moment GBPEUR exchange rates appears to be fluctuating in the lower teens and I expect by Christmas or potentially in the early new year for GBPEUR exchange rates to be either in the 1.06-1.07 or 1.17-1.8 range and the factor that is going to drive the pound higher or lower will be the Brexit negotiations.

A no deal puts the UK under more uncertainty and therefore I expect the pound to plummet, where as an agreement in regards to EU citizen rights and the divorce settlement bill will lead to trade negotiations and therefore a stronger pound.

The problem we have is we are unaware how the upcoming negotiations will go. For clients that are selling pounds to buy euros or euros to buy pounds, the question you have to ask yourself is what do you think will happen between the UK and EU. If you are unsure and not prepared to take the gamble, as some people are saying it’s like playing roulette, feel free to get in touch to discuss how we can save you money on your transfer.

For further information in regards to currency 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! **

 

All eyes on Inflation figures this morning (Joseph Wright)

This morning could be important for Sterling exchange rates, not just this morning but moving forward as analysts are expecting to see UK inflation levels hit a 5-year high.

The weakening of the Pound since the Brexit vote has pushed up the rate of inflation in the UK, and for a while now the inflation level has been well above the Bank of England’s 2% target. Many analysts in the city are expecting to see the rate hit 3% for September, and if this happens there is a high chance that the Bank of England may look to hike interest rates for the first time in over 10 years.

A 3% inflation level would be a 5-year high and the governor of the Bank of England has hinted at hiking rates as soon as next month.

A high reading this morning would likely result in Sterling strength as the markets would expect to see a rate hike from the BoE, and at the same time if the inflation level is lower than expectations, I think there’s a chance the Pound would fall.

Mark Carney will also be speaking later this morning as he testifies to MP’s on the Treasury this morning. It will be interesting to see whether he discusses inflation and potential rate hikes and if he does it will be interesting to see how the Pound reacts.

Aside from today’s busy morning this Thursday could also be busy as Retail Sales data will be released which could impact Sterling depending on how the figures perform.

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.

Events that could impact GBPEUR exchange rates (Dayle Littlejohn)

The main economic talking points at present which have the potential to have a major impact on GBPEUR exchange rates are if the European Central Bank  makes adjustments to the quantitative easing program on October 26th and whether the Bank of England will raise interest rates on November 2nd.

Members of the European Central Bank including the President Mario Draghi, have hinted that decisions could be made in October. However inflation numbers fell last month therefore I don’t expect the ECB to make cuts this month. Nevertheless the chances that they will hint towards making cuts in the near future are high, therefore this event could lead to euro strength.

Even though GBPEUR exchange rates have been on the decline in recent weeks, the market has priced in that there is a strong chance the Bank of England will raise interest rates on the 2nd November.  Due to the pounds surge throughout September I expect some of the inflationary pressures to have been curbed. Couple this with a poor run of economic data throughout October the likelihood of an interest rate hike I believe have diminished.

If my predictions above materialise I expect GBPEUR will fall below 1.10 throughout November. Good news for any clients selling euros to buy pounds. 

Short term many of the ECB members are speaking today. Know doubt one of the members will be quizzed about quantitative easing and interest rates. Speculators will be watching closely to see whether any hints are made to tapering. If you are converting GBPEUR short term, today’s event could have a major impact on the exchange price you receive.

If you are converting GBPEUR in the upcoming months and are looking to achieve competitive rates of exchange whilst receiving regular economic information feel free to email me the reason for the transfer (company invoice, property purchase) the timescales you are working to and I will respond with the options available to you along with the process of converting currency. My direct email address is drl@currencies.co.uk and I look forward to receiving your email.

GBPEUR plummets due to Theresa May

UK Prime Minister Theresa May delivered a Brexit speech yesterday which was interrupted by a prankster who gave Theresa May a fake p45 and claimed it was from Boris Johnson. The prime minister tried to stay composed however she failed to keep it together and the speech has left investors questioning will the Prime Minister last much longer.

Some Conservative MPs have rallied behind Mrs May however it’s being reported that dozens of Conservative MPs are asking the Prime Minister to step aside.  Bookmakers Betway have now cut odds to 5/6 that Mrs May will resign before the next election.

In other news Germany’s BDI industry associate has warned UK companies to make provisions of a very hard Brexit as the UK government is lacking a clear concept on Brexit. This has caused the pound to plummet in value against the Euro and GBPEUR exchange rates have now lost over 2 cents in the matter of a few trading days.

This afternoon Bank of England member Andy Haldane is set to address the public if he continues with the Bank of England stance of raising interest rates  short term sterling could potentially recover some of the losses.

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 GBPEUR rise on the German election?

Many clients are looking to the German election as a possible event to which could create some fresh opportunities on the GBPEUR exchange rate. Many clients are predicting the pound will lose value against the Euro expecting the Euro will strengthen on the back of renewed political certainty in the region. Angela Merkel is widely predicted to win the Chancellorship, the market moving element will be the extent to which any anti-EU or immigration party performs in the share of the votes.

Overall the Euro is significantly stronger against the pound compared to the last few months and years but in the last few weeks the pound has fought back, mainly on the back expectations the UK will raise interest rates. Markets are predicting the UK will raise interest rates in the future but personally I would be skeptical about this happening. Nevertheless the market has to price this potential outcome into the rates and this is the reason for the strength of the pound lately.

If you have a transfer buying Euros with pound you are almost 5% higher than the lower points only two weeks ago. It is unlikely this will just keep rising particularly with the Euro performing so well on the back of improved political certainty in the region. Therefore clients buying Euros with pound should be very conscious of the potential for further setbacks or surprises working against them in the same fashion as events have helped them.

If you have a transfer to make in the future buying or selling Euros then why not speak to me by emailing jmw@currencies.co.uk, we can then help guide you through the processes and expectations on the rates plus ensure you get the best rates in the market.

GBPEUR holds steady above 1.10

Yesterday the Office for National Statistics released the latest Consumer Price Index numbers for the UK and inflation had risen 0.3% compared to last months figure of 2.6%. With inflation now sitting at 2.9% it appears that speculators have purchased the pound in anticipation that the Bank of England could give some indication about a future interest rate hike on Thursday.

However I actually believe the complete opposite and wouldn’t be surprised to see the Governor of the Bank of England Mark Carney to talk down sterling. In recent weeks the Governor has made it clear that the weaker pound is the reason for the shift in inflation and the Bank of England will act off the back of Brexit developments.

With this in mind I believe the spike above 1.10 is a spike and in the upcoming weeks GBPEUR exchange rates will fall back towards the 8 year lows we were experiencing only 2-3 weeks ago. Therefore anyone looking to purchase euros short term should consider buying there euros upfront. For euro sellers rates are still fantastic however if you can hold your nerve rates could improve towards the end of the 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 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 3 month forecast

Yesterday President of the European Central Bank Mario Draghi hinted that future key monetary policy decisions will be made in October. The President was eluding to the quantitative easing program that has run for the last few years in a bid to stimulate and kick start the economy. With many economists stating growth has improved throughout Europe their is hype that the quantitative easing program will be cut in the upcoming months.

It is important to note if the quantitative easing program is cut (tapered) I expect major euro strength. 

Brexit negotiations are continuing to weigh down on the pound as UK and EU negotiations cannot come to an agreement about EU citizens rights. UK Prime Minister Theresa May has made it clear that the UK and European Court of Justice will part ways after Brexit which in my opinion means EU citizens wont be protected and this is another stumbling block negotiations needs to overcome.

Over the next 3 months I expect exchange rates to fluctuate between 1.05-1.10, as I wouldn’t be surprised to see further sterling weakness. However with European exports becoming to expensive, spikes in the market could occur throughout the month when Draghi tries to talk down the currency.

For further information in regards to currency 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! **

 

Brexit talks continue to harm the pound

Since the UK public decided to vote out of the EU, GBPEUR exchange rates have dropped 18%. To put this into monetary value a €200,000 purchase is now £33,000 More expensive. Many of my clients that are purchasing euros are asking if rates will continue to get worse or recover towards the end of the year.

Brexit negotiations are one of the reasons that GBPEUR exchange rate now sit at an 8 year low. The third round of negotiations took place earlier in the week and by accounts did not go particularly well. EU officials have made it clear that the divorce settlement and EU citizens’ rights need to be sorted before any trade negotiations will begin. However UK official’s believe the numbers do not add up and therefore they want to discuss a trade deal alongside the divorce settlement.

With months ticking on by, and the UK and EU no closer to agreeing a new trade deal that will benefit both parties, it looks like further falls will occur in the upcoming months. Media stations have been reporting investment giants, JP Morgan and CITI Bank believe exchange rates will reach parity throughout 2018 and if negotiations continue to follow the same path I believe this could occur.

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! **

GBPEUR bounces back but for how long?

The pound has bounced back against the Euro today largely because of the swing on EURUSD as investor concerns over the US dollar fade. EURUSD has risen to almost 1.21 yesterday but it is now back to 1.19 representing a series of profit taking and market fluctuation which has presented some improved levels for Euro buyers. Tomorrow is a very busy day for the Euro with all important Unemployment and Inflation data due out. The pound could find further form against the Euro in my opinion, not because of any fundamental reasons, eg news but more positioning as traders look to take profits on existing trades.

Much of the currency market’s movements are to do with speculators who essentially move money to make money. That doesn’t mean one man trading for personal gain at home, but hedge funds, banks, investment companies and pensions funds. Much of their work will be to manage FX positioning, essentially trying to make money from the market in a speculative manner. This will account for a large degree of the movement on the currency market so trying to understand this thinking helps explain the movements.

With GBPEUR having moved down below 1.10 it will find it increasingly difficult to rise above 1.10 and we could now struggle to see rates rise back above 1.10. What might be more likely is the market and speculators trying to push the level down to parity. If you need to buy Euros with pounds you could easily find this gets more expensive over the long run. However tomorrow or at present could offer a good short term opportunity.

For more information at no cost or obligation please speak to me Jonathan Watson by emailing jmw@currencies.co.uk. Thank you for reading and I look forward to hearing from you.

Pound to Euro rate in focus as it’s trading at an 8-year low, will the sell-off continue? (Joseph Wright)

Sterling is continuing to come under pressure this morning after breaching the 1.09 mark during yesterday’s trading session.

The breach of 1.09 has continued this morning as the pair are now trading at their lowest levels since 2009, with 1.0868 the lowest level the pair have hit so far.

This comes at a time where risk appetite worldwide is on the decline after US President Donald Trump’s threat to end the NAFTA agreement and shut down the US government if he doesn’t receive funding for the wall he plans on building along the boarder of Mexico.

There have also been a number of forecasts from major financial institutions recently suggesting the Pound could fall as low as 1 for 1 with the Euro, with HSBC, Morgan Stanley and Citi all making this same prediction for the pair in 2018.

Should these predictions comes true then it may be worth looking into the current exchange rates if you’re planning a large GBP to EUR transfer as there is still some distance to go should they be correct.

Tomorrow at 9.30am there will be the release of UK GDP data for the month of July, and there could be movement between GBP/EUR if this figure is released some distance from its expectation.

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.

Will GBPEUR rise or fall in July? Important news for GBPEUR clients….

Since the UK election GBPEUR has only moved 2 cents between the high and the low which some would read as boring, I read as opportunity! Clients looking to buy or sell the pound or Euros following say an overseas property purchase or sale, should be preparing for further volatility on the foreign exchange market that could well present some fresh opportunities to maximise their exchange rate. On a €100,000 sale into sterling a cent at current levels is £750 more in the sellers pocket. We work to highlight improvements on the market to clients in such positions to help them make an informed choice about when to execute their exchange.

If you have a transfer to consider buying or selling Euros for pounds getting the timing on your exchange correct is critical to getting the most for your money. With GBPEUR having been trapped in a range between 1.1270 and 1.1468 there has not been much opportunity for either Euro buyers or sellers to capitalise. I have many of my clients who need to buy Euros for an overseas property purchase or to pay business Invoices holding off expecting the rate to recover. And too, many of my Euro sellers are also holding off expecting the pound to crash!

With so many different potential outcomes from the rates being prepared is vital to capitalise on spikes or to limit any losses. A very popular contract type at present is a limit order whereby we look to automatically purchase a currency for you if we do get to a certain level. Popular Limits buying Euros are at 1.15 currently.

If you have a transaction to consider in the future then making some plans in advance is crucial to getting the best deals. We can very easily set up one of these orders to help limit your exposure and maximise the return.

For more information on the GBPEUR forecast and the best way to maximise your rate please speak to me Jonathan Watson to get a full overview and discuss strategy. Please email jmw@currencies.co.uk with an overview of your position to get the latest news and updates.