Tag Archives: GBPEUR exchange rates
Why the sterling rally may now be over!
I have been watching with interest GBP movements of late very sure that we are soon to be witnessing a decline. Yesterday’s fall has continued today and I cannot see any immediate return to the kind of trading levels we saw earlier this month. If you are looking to sell the pound to buy a foreign currency say for an overseas property purchase or for business, buying sooner rather than later may be sensible. If you do not have full availability of funds a forward contract could be perfect.
Today the IMF has said the UK is a long way from from recovery and this is likely to weigh on sterling in the short term. We have pointed out the major problems for the pound in many posts and it is likely this is the start of another dip. If you are selling a foreign currency to buy sterling then you are looking at an excellent opportunity that may yet get better in the short term. Where we go from now will depend on the economic data releases before the end of the week but it is clear a negative sterling bias has developed. If you are selling beware of getting too excited as the trend will of course depend which currency pair you are interested in! For a full overview of your transfer and to be kept informed of the latest news on your rate please register your interest at jmw@currencies.co.uk
Important data this week will be the GDP data due tomorrow at 09.30 am UK time. Expectations for the release are at 0.3% growth but any deviation, (hesitation or repetition) could cause market movements! Friday we have German business consumer confidence and US Durable goods orders, all potential market movers. Sterling will I feel remain on the back foot but we could of course see some profit taking or even a ‘Friday Run’ to provide a quick boost. Remember too the Bank Holiday on Monday for the UK, this will affect payments internationally and you may find it difficult to book a price with a currency dealer on this day. Taking advantage of our ‘Market Watch’ service may be invaluable to avoid the disappointment of missing out on your desired rates over the weekend. As usual please contact me directly on jmw@currencies.co.uk to find out more, an account can be opened instantly and you can be trading within minutes. We offer same day payments so ‘not having time’ is no excuse to settling for poor exchange rates!
The sterling rally always looked to be under pressure from weaker UK data and the possibility of more QE down the line. It appears that just as quickly as it started the pound is likely to be weakening again soon.
As well as offering assistance planning and managing your exposure to the currency markets we also offer exchange rates for which we have won awards. For a free, no obligation discussion of all the events affecting your rate please feel free to contact me directly on jmw@currencies.co.uk or call 01494 787 478 and ask to speak to me Jonathan
I look forward to hearing from you and assisting in any way I can… Even if you are quite happy with the rates you are achieving a quick call or email to us to check what you are doing and at what rates could save you money.
Thank you,
Jonathan
The majority of our business is generated via referrals and recommendations. I would greatly appreciate you passing on my details to any friends or colleagues who may be in need of better exchange rates and / or market information.
Brief Summary on Exchange Rates this week
Beginning with GBPEUR exchange rates we have seen the UK growth forecasts pushed up by Mervyn King this week which has seen Sterling gain against the Euro and with France announcing a triple dip recession this has also seen support for Sterling. It seems also since the Quarter UK GDP figures helped the UK itself to avoid the triple dip a little bit of confidence has returned for the Pound. The Euro has also felt the effect of weak inflation which highlights the slowdown in the Eurozone which compounds the weak GDP figures across Europe this week.
GBPAUD exchange rates have kept up their trend of recent Aussie Dollar weakness and rates are the highest in many weeks as the Aussie government announce they are expecting a deficit this year so if you’re interested in reading more click this link Weaker economic growth from China since the turn of the year has also negatively affected the AUD exchange rate and therefore if you need to buy Australian Dollars it may be worth taking advantage of these current spikes.
GBPZAR and GBPNZD exchange rates have all felt the effect of the problems globally and we have seen Sterling improve by over 2% against these two currency pairs this week and many are targeting GBPNZD to hit 1.90 and GBPZAR to hit 14.5. I for one would not be surprised if these figures are hit during next week but if so may not last for long.
Next week the Bank of England releases its minutes next Wednesday and on Thursday the UK releases its revised GDP figures so if you have a currency transfer to make feel free to get in touch Tom Holian teh@currencies.co.uk and I’d be more than happy to provide a free quote.
Many Market Movers in May! Can sterling go higher?
As we approach the halfway point of the month we see the pound holding some of the gains we have witnessed in April but still very much under pressure! Unfortunately there is very little on the horizon to indicate significant further gains this month. If you are selling pounds to buy another currency holding out for further gains could be very risky, current levels should not be easily dismissed. Here are some of the key thing to note if you are buying or selling which may affect your rate.
If you would like more information on a particular subject or on events surrounding your particular transfer please speak with me directly on jmw@currencies.co.uk
Will the UK leave the EU? Expect pressure on sterling due to political uncertainty. Markets and investors want certainty in their investments. Fears of the damage a split Tory government, the rise of UKIP and a broken coalition would do to UK business weighed on sterling yesterday. Can Cameron tackle the ghost of conservative past and deal with the question of Europe? It is doubtful I have to say and this will weigh down the pound.
UK Growth Last months data was impressive and welcome but 0.3% is not anything to get too excited about. True the latest data sets have all been positive but the marginal improvements on what were dire figures still have a long way to go. Ultimately the UK’s stagnant housing market (particularly outside London) needs invigorating – Construction is the main drag in recent years. The second revision of growth figures at the end of the month could easily be a market mover.
Depending on which currency pair you are trading there will of course be many other things to move the market. Looking in my crystal ball (which has been pretty clear lately) I cannot see significant gains for GBP against the majors. Maybe a cent or two? Once again I see more danger of things dropping as the confidence of the last few weeks wears off.
If you have a transaction to consider I would be interested to speak to you explain the market and offer our services with a view to getting you the best deal. For more information please email on jmw@currencies.co.uk
I look forward to hearing from you!
What will happen next week on sterling exchange rates?
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. jmw@currencies.co.uk
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 jmw@currencies.co.uk
Thank you
What next for GBPEUR Exchange Rates?
GBPEUR exchange rates have remained rather flat this morning even after credit ratings agency Fitch downgraded the UK to AA+ from a triple A rating this weekend. With the IMF recently downgrading the UK as well one could have expected Sterling to be struggling more than it has been as of late. My suspicion is that the markets are holding their breath for the UK GDP data published on Thursday morning. During this morning’s trading session the GBPEUR rate has not moved by more than 0.4% which is a very tight range for the currency pair.
One piece of data that could affect Sterling vs Euro could be the European Consumer Confidence survey due to be released this afternoon. A high reading of confidence means that the Euro could strengthen and a low level could mean the opposite so if you’re worried about the release then get in touch by email Tom Holian teh@currencies.co.uk
When buying currency it is always beneficial to use a currency broker compared to using a bank to convert your money. The options available are many including utilising contract types such as Stop Loss & Limit Orders or Forward contracts which can be used to safeguard your exchange rate in the future.
An experienced broker will also keep you updated with exchange rate movement so if your’e considering making a currency transfer and want to be informed as to when we see the market spiking then email me with ‘SPIKE ALERT’ in the title of the email Tom Holian teh@currencies.co.uk
I always welcome comments about what you think may happen to the markets so feel free to email me.
Buying euros news, best exchange rates, when to buy, when to sell? (Steve Eakins)
Currency exchange rates have had a bit of a “blip” this week or a SPIKE allowing euro sellers to trade at a 6 week high. It is these SPIKES that often achieve the best price in the market but you have to move quickly to catch them as they don’t hang around for long. A Spike in the market is when some surprising information is released which moves the markets quickly and by a large amount. Unfortunately most recent SPIKE has now ended and the rates have started to return to the level seen over the last 5 weeks.
These spikes do not happen often and when they do it is only the clients with funds available that can normally take advantage. I am of the thought that there will be other spikes through the month of May due to key data being released from the UK with regards to the potential of the UK economy falling into a recession and the Eurozone maybe lowering interest rates. So if you need to move currency internationally register for SPIKE notifications via email at hse@currencies.co.uk
What next for currency rates?
Many euro buyers have been waiting for rates to climb back over 1.20 that we saw last year. Which may or may not happen. The facts still remain that the UK is growing at near zero percent, Unemployment continues to climb, consumer spending is still very low, and there is no real signs of any improvement in the near future. We don’t have an Olympics or a royal wedding to pin our hopes on. This week we have even seen the International Monetary Fund comment that the UK is at risk which is a view also shared by the next Governor of the Bank of England. So in the medium term I expect rates to fall.
The good news however is that rates do not move in a straight line and there are events in the near future that could help euro buyers:
- Next Thursday we have the UK GDP figures being released, this should confirm that the UK avoided a recession. I expect this to improve prices at the time by maybe a cent – saving clients £1,500 on a €200,000 purchase.
- The week following we have European Interest rate decision. There is a possibility that they will cut interest rates which could push exchange rates up for euro buyers, maybe by 1.5 cents – saving clients £2,250 on a €200,000 purchase.
To find out more about the specialist currency service we provide, whether you are a private or corporate client, then we can help. Please get in touch either on 01494 787478 or by emailing me with a brief description of your individual requirement and I will happily contact you and run through your options. You can reach me direct at hse@currencies.co.uk
Register for SPIKE NOTIFICATION or a RATE ALERT simply email me Steve Eakins at hse@currencies.co.uk with your details.
The most important issue regarding pound sterling rates at present! How to get the best exchanges rates
The pound had been one of the worst performing currencies of 2013 until a few weeks ago when it bounced back from the very worst levels. The answer to the question of is the worst really over will be evidenced next week in the form of GDP data. Gross Domestic Product is a measure of the output or growth in the economy and is a key factor in determining the strength or weakness of sterling.
What strategy should I adopt for buying or selling the pound?
If you are selling a foreign currency to buy pounds and you are keen to take a risk it may be worth waiting until next Thursday as there is an outside chance you could see much better levels by 2 or 3 cents. If you are not keen to risk then I would tee things up a bit sooner as it is probable the pound may become more expensive. Please note if you are considering any exchanges and would like to run through your options please speak to me directly on jmw@currencies.co.uk
The consensus among commentators seems to be that the UK has avoided the triple dip recession. This would mean that it is likely the pound will strengthen next Thursday. However because this expectation is quite high, if for any reason the data is bad we could see a big fall for the pound. Markets often move ahead of the event too, so it can be argued the pound is stronger lately due to this expectation. It is also true the pound is stronger due to events in Cyprus, money has moved out of Europe and despite all the economic woes for sterling, found its way to the relative safe haven of the UK.
If you are selling pounds to buy another currency then it may be wise to see how the data comes out next Thursday. This is because the pound may strengthen by a cent or so against most currencies. It is impossible to say exactly what will happen so the best way to ensure you don’t lose out unnecessarily is to register an interest with me so I can keep an eye on the movements for you. Rates can move up to one or two cents per day and on big volumes of currency this can become very costly.
If you are weighing up whether or not to sell or buy pounds and hoping for slightly more on the rate, then the outcome of this decision next week is key. You can be made aware of all your options and run through any ideas on what you feel may happen by speaking directly with me on jmw@currencies.co.uk
The authors of site are specialist currency providers who can offer much better rates than the banks and other sources. We also offer assistance with the timing of your exchanges and providing forecasts. Ultimately no one can tell you exactly what will happen, but our expert knowledge of what drives rates and guidance on the processes involved will ensure you make an informed decision.
Please contact me Jonathan Watson personally on jmw@currencies.co.uk for more information at no cost or obligation.
I look forward to hearing from you and personally assisting you, thank you
Gold Prices and Exchange Rates
Gold prices have continued to fall overnight to their biggest loss seen in two days in over 30 years. As Cyprus has announced it may have to sell off part of their gold reserves to help fund its bailout we could see further falls throughout the day. Weak Chinese GDP figures also helped to push gold prices lower. As risk appetite subsides we have seen huge gains for Sterling against commodity based currencies including AUD, NZD & ZAR all of which has increased by almost 2% since early trading yesterday morning.
In particular GBPAUD exchange rates have continued to rise as the Reserve Bank of Australia minutes were published this morning showing that they will keep interest rates on hold at the moment with a view to cut further if necessary. Indeed, if China’s economy slows down this could see the Aussie Dollar come under pressure at Australia sells approximately 37% of its mineral exports to China. If you have a requirement to buy any of the three currencies AUD, NZD or ZAR then email me directly for a free quote Tom Holian teh@currencies.co.uk
With the focus now again on Europe and in particular Greece we could see a bit of volatility this week on GBPEUR rates. Athens has agreed to cut 15,000 jobs in Greece by the end of 2014 as part of its bailout package as it awaits the release of 8.8bn Euros. Currently Greek debt is almost 160% of the entire nation’s GDP and the International Monetary Fund says it must cut to 120% to be sustainable. Since 2010 Greece has received €270bn in bailouts.
At 2pm today Mario Draghi gives a press conference of how the ECB is currently viewing the European economy and if anything needs to be changed. Draghi’s comments this afternoon could cause volatility on both EURUSD and GBPEUR exchange rates. If you want to receive a free quote email me Tom Holian teh@currencies.co.uk
Sterling exchange rates set to have a busy week!! Best rates for buying your Euros and Dollars (Ben Amrany)
It turned out to be a fairly flat week for the pound in general with only a cent or so movement against the single currency. Against the USD though we witnessed a welcome boost with the pound climbing now over 4% from the lows of 1.48 recently seen. The spike saw the pound gain to 1.54 on Friday and I feel this represents a good buying opportunity. If you need to buy the USD and wish to capitalise on this current spike please do email me at bma@currencies.co.uk. Let me know what your target level is and I will keep you informed should the rate occur.
Comments from the Federal Reserve have led the markets to believe that they may be starting to slow their monetary easing programme. Couple this with the uncertainty of threats from North Korea the Dollar has taken a bit of a hit this week. Looking into next week against the Greenback their is a host of inflation data out on Tuesday and the FED’s beige book (The Beige Book reports on the current US economic situation) but apart from that significant economic data is a little bleak.
Here in the UK their is also a host of inflation data out on Tuesday and the biggest release will be on Wednesday morning when the Bank of England will release their minutes from the last interest rate decision. The minutes will show how many members of the BoE voted for interest rates to change and how many voted for the dreaded QE. The last few months there has been no QE and it has given the pound a slight boost. On Wednesday though should more members show that they voted for QE it will bring up the question will it happen in May? This is one 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. Email me with your requirement at bma@currencies.co.uk and I can go over the options that are available to you to help you try and maximise your exchange. Plus the rate will be a lot better than your bank!!!!
If you do not trade next week then the next key release that the markets will be keeping a very close eye on will be the GDP figures on the 25th April. If data continues to be positive and the UK misses a triple dip recession then the pound I feel will remain stable and not nose dive. However I still cant see the rates pushing back towards the 1.20 verses the Euro. If we do hit a triple dip then I think the pound will test the 1.14 level against the Euro and the 1.50 level again against the USD. Things are certainly on a knife edge so if you do not want to take any risks with your funds their are good options that are available. Email me at bma@currencies.co.uk and I can go over all the info for you.
Not only do we offer you our expert opinion on the markets but we can help you achieve rates up to 4% better than some banks. If you have not contacted me in the past can you afford not too with the state of the pound. Even if you are buying sterling and the rates are attractive it is human nature to want to achieve as much as possible so feel free to contact me to help you try and maximise your currency exchange.
Thank you for reading.
Ben Amrany
Sterling could fluctuate over the coming weeks (Alistair Ryan)
Sterling has lost a lot of ground against most major currencies since the start of 2013 but with growing global uncertainty could we see more of a push from the pound? There has not been an abundance of data releases concerning the UK or the Eurozone this week yet we have still seen GBP/EUR rates range between a low of 1.1684 and a high of 1.1813. This seems to be down to growing uncertainty surrounding both parties.
It is no secret that some Eurozone economies have been struggling recently and it seems as though we are constantly hearing rumours that another Eurozone state is heading towards financial meltdown. Couple this with the fact that there is a distinct possibility the UK could be heading in to a Triple Dip Recession and this all creates a lot of uncertainty in the market.
On Tuesday The National Institute for Economic and Social Research (NIESR) announced that they estimate the UK economy has grown by 0.1% in the first quarter of 2013, revised up from -0.1% in the previous announcement. This figure was an estimate of what will come out when Gross Domestic Product (GDP) figures are released in two weeks time. In order for the UK to avoid a recession this figure would need to be 0% or higher, this is how tight it is!
My general opinion is that the GDP announcement will be the main market mover in the coming weeks and with it being such a close call we could see Sterling fluctuate in the build up. I personally feel that if the UK goes in to a Triple Dip Recession then we could see Sterling fall significantly against most major currencies, on the other hand if it is avoided there could be some strength for the pound off the back of this.
We have a number of different contract options that can help safeguard your funds against sudden market movements. If you would like to speak with one of our professional, experienced currency brokers then please contact me direct at atr@currencies.co.uk
