Only a week after the Eurozone met to contain the spread of debt throughout the EU and already markets have cause for concern that the Eurozone are going to be able to cope with their Sovereign Debt issues.
German Minister Wolfgang Schaube has voiced his opinion (joining Chancellor Merkel) that the Greek bailout was a ‘one-off’ and that this will not be repeated unless it threatens the financial stability of the zone as a whole. Germany, the largest economy in the EU have generally been viewed as cautious players in regards to supporting the peripheral countries of the zone and this statement today has led markets to believe that this integral support is beginning to wane.
This has led to Euro weakness against most majors today, including Sterling as we see GBP/EUR now sit above the 1.14 mark.
Personally I think this is an issue that is now likely to quiten down somewhat before coming to a head later this year, or early next. The Euro is still great value to sell and personally I would not be wanting to hold funds for anything longer than a month or two in this currency. Although Sterling is not the most attractive option as a currency it offers some security that is completely amiss with the Euro and so I see GBP as bullish vs the EUR in the long run.
Whether you are looking to buy or sell Euros, you will benefit from an experienced Currency Broker explaining your options. Whether you just want to clear up exactly how you can try and maximise your exchange rate or if you are simply looking for a live rate of exchage then please do not hesitate to contact the author directly on 0044 1494 787 451.