GBPEUR rates expected to fall further? (Steve Eakins)

GBP EUR Exchange Rate: Weekly Review July 16  

Rates have fallen further since my last blog as many have now come to expect. We have broken the 1.20 mark and rates seem to be quickly falling further challenging 1.19.  So what do we expect for the immediate future?

Well it does not look any more promising for people looking to buy euros.  On Tuesday we have the Unemployment figures for the UK and on Friday the latest GDP figures.  Following the news that nearly 10,000 are at risk to become unemployed over the last week due to Jessops, Blockbuster and HMV going into administration these are expected to be great.  With
regards to the GDP figures this is also expected to show a fall to -0.3%.  This would really push the probability of a TRIPLE DIP recession from the scape goat story into a real risk for 2013. Plus will mean that the UK economy was only out of the economy for 1 quarter.  This will push both rates down and demand from investors plus traders.

So if you have euros to buy I would suggest moving sooner rather than later.  Euros sellers – happy New Year – over the last 2 weeks you have gained 2.5% or £4,000 from a €200,000 sell.

What I would highlight however is that markets have surprised us and could easily again. I expect the next 7 days to have a spread, (difference between the high and low), of over 1.5%. If you want to buy and are looking for the best price register your interest by email. We can notify you when rates are high so you can make the educated decision. Email your name,
contact details, volume and timeframes to [email protected].

If you have any questions and are looking for the best rate of exchange please contact us on the normal number or by email at [email protected]

All the best,

Steve Eakins

Elite Trader

[email protected]