GBP has rallied against the EUR during Friday’s trading, news that will help alleviate fears that the Pound was going to continue its free-fall against the single currency. This fighback follows the well documented recent losses and although I cannot say with confidence that we will see a complete realignment, I do feel a move back towards 1.19 is now more likely than a move back towards 1.15.
Sterling fell over 8 cents in under 3 weeks, with the markets reacting negatively to David Cameron’s suggestion that a referendum would be held over our future involvement in the EU. This coupled with the very real threat of a triple dip recession, following poor Gross Domestic Product figures for the last quarter of 2012, sapped market confidence and pushed GBP/EUR rates down to their lowest levels in 15 months.
As I have eluded to in previous posts, the currency markets will always move and these spikes can be aggressive and come without warning. What is important is that clients are fully aware of any market developments so that we can react accordingly.
Here at Foreign Currency Direct plc we provide our clients with all the tools necessary to time their transfer to perfection. Not only will we achieve unrivaledrates of exchange but will provide a bespoke service unmatched anywhere in the industry. We will analyse key market data and ensure all our clients are kept up to date with any the key economic releases and spikes on their relevant currency pairs.