Tag Archives: eurgbp
After last week’s losses against the USD and a steady rate hovering in the 1.18′s against the Euro this week could be a little more volatile for sterling exchange rates. Data is a little light for the UK in general this week bar Wednesday when things could really get interesting. The pound will more than likely be volatile though as there are numerous data releases all over Europe.
Those of you that have an interest in GBP/EUR the next couple of days could be vital for how the currency pair performs. Tomorrow morning at 7am Germany are releasing some key inflation figures followed by the ZEW survey which shows the sentiment between investors and analysts. Often this can be a market mover and I personally feel this may give the pound an opportunity to push up to the late 1.18’s possibly 1.19. If you are selling Euros you may wish to look at securing your funds today before this may occur to stop your recent losses.
On Wednesday we will see some of the major European countries release their GDP figures. GDP is a measure of how their economy is performing and over the last couple of weeks the UK has posted a healthier picture which has strengthened the pound significantly since the Cyprus event with a gain of around 4.5%
All of the countries bar from Germany is expected to show a contraction in their economic growth. So if they do post some better than expected figures then it is on Wednesday morning that we may potentially see the Euro gain against a host of majors.
Now in the UK this Wednesday the quarterly inflation report out at 10.30 may give the pound a boost. It seems that the BoE are slowing down their QE programme. If they give any hints in their report that they are happy with the rate of inflation and the slow economic recovery this could boost the pound and recover some of the losses seen against the USD.
Could we hit 1.20 against the Euro? It would be the highest level seen this year and if we do I would highly recommend securing your Euros. Let me know your thoughts by emailing me at email@example.com
Wednesday also brings a raft of unemployment figures. Unemployment is slightly falling as the slow recovery in the UK kicks into force but with 7.9% still expected to be unemployed we will need to see a fall in this figure for the pound to rise.
Please do be cautious if you have a currency transfer to make. These are two of the key releases which can cause the pound to be very volatile against a host of currencies. If you have a transfer to make in the next few weeks Wednesday’s
release may give you an indication if you should hold out a little longer before making your conversion.
If you do require exchanging funds then please do inform em of your requirement and I can explain the options available to you plus inform you how you can get a btter rate than through the banks. Just email me at firstname.lastname@example.org with your requirement and I will talk you through the options that are available to you.
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An excellent run of form for sterling has seen us hit a 15 week high against the euro and 11 week highs against the US dollar, Australian dollar and Canadian dollar. Is this going to get much better or has this rally run out of steam?
I think that this rally has run out of steam but that does not mean rates are going to just crash back down. Sterling has been given a boost by the improved GDP stats (0.3% growth for Q1) which removes some of the more immediate concerns regarding sterling. In order for the pound to press on we need to see more positive data and next Thursday could be a trigger with Industrial and Manufacturing data plus the NIESR (National Institute of Economic & Social Research) estimate of GDP for April.
If you are considering moving sterling in the next few weeks next week could be fairly pivotal in shaping the future direction for sterling. It is important not just for sterling but due to the releases affecting other currencies. Here is a quick run through of a couple of things to beware of on rates next week.
EURO – Mario Draghi and the ECB (European Central Bank) are giving a couple of speeches next week including the ECB Monthly Report. There was a story today that the ECB were playing down speculation yesterday rates may be cut further. If any such bold statements are made I expect the Euro to strengthen, but not by much.. The Euro is in the firing line right now. If you are considering any GBPEUR or EURGBP transfers in the future please feel free to contact me for a forecast specific to your requirements. email@example.com
USD – An improved employment outlook for the US today helped the USD to strengthen against sterling but unless the pound comes under pressure I expect GBPUSD to push higher. A speech next Friday by Chairman of the Federal Reserve Bank in the US, Ben Bernanke could be crucial.
AUSTRALIAN – The Reserve Bank of Australia meet for their monthly meeting next Monday evening where they decide on economic policy. The statement after their meeting may be more indicative of policy as no change is expected. Next week we also have Australian employment data which could move rates. On the whole I expect rates to remain good for buyers, sellers of AUD to buy GBP may wish to move sooner if they don’t see improvements.
Our service is designed to save people money on their currency exchanges. This is not just through offering better rates than the banks and other currency brokers, but by assisting with the actual timing of your exchange. Even if your transfer is just a one off we can help guide you through the process of moving money internationally at the very best rates.
Even if your transfer is not required for some time we can forward book rates for a small deposit. For more information on the services and to make a comparison or register an alert for certain trading levels, please contact me Jonathan directly on firstname.lastname@example.org
The pound has nicely risen from lows against the USD & Euro over the last 2-3 weeks. Data here in the UK is slowing improving and the risk of a triple dip recession is slowly diminishing. This week alone factory output has increased from February and the NIESR GDP estimate showed that the UK economy grew by 0.1% in the 3 months up to March. Previously the economy in the UK had contracted by -0.1%. You may feel what is the difference between a plus 0.1% to a decline of 0.1% but it fills investors with confidence about the UK economy and hence we see sterling strength.
The main figure will be at the end of the month when we have the actual GDP estimate. This will be the release which could mean that sterling gathers momentum should we not be in a triple dip recession.
If you are looking at selling Euros to buy your sterling then you may be wise to look at converting sooner rather than later. The levels that we reached before the Cyprus event I feel are long gone. If you have a significant volume to exchange don’t get caught out trying to recover your losses as it may get worse 2-3 months down the line. I feel that their will be opportunities when sterling does weaken again but not down to levels pre- Cyprus. So you may be looking at a range bound of 2-3% one way or the other and being in a position to capitalise on a favourable movement could end up saving you thousands.
If you have a specific target level why not inform me at email@example.com so I can keep you updated should the right level occur. A limit order can be key to maximising your exchange.
I assist thousands of private and corporate clients with their money exchange and the rates can be up to 4% better than that of the high street banks. If you inform me of your timescale then we can look at all the options that are available to you to help you maximise this. With very little data out of the UK for the remainder of the week now may be a good time to look at getting things in place so if a rate occurs you can act.
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