Sterling Euro exchange rates hit fresh two month highs today as the OECD raised the UK’s growth forecast for the year from 0.8% to 1.5%. As momentum has carried on from he first part of the year this was sited as one of the key factors in the increase. The UK Construction sector also moved at its quickest pace in 6 years and manufacturing also continuing to pst strong figures. The PMI data for constructio in the UK was measured at 59.1 in August from 57 in July. Anything above 50 represents growth.
UK Manufacturing was seen to grow at its fastest pace in over 2 and a half years and the highest reading seen since February 2011. With such positive readings this will surely lead to increased UK consumer confidence and therefore a strengthening for Sterling so if you’re thinking about making a currency transfer and want to take advantage of these current exchange rates then feel free to contact me directly by email Tom Holian [email protected]
In Mark Carney’s recent announcements he has suggested that UK interest rates are unlikely to be changed until UK unemployment drops below 7% which many analysts expect may happen by 2015. However, if the UK data out recently continues to be strong we could see a need for increasing UK interest rates well before this time.
With David Cameron having been defeated in the House of Commons last week about the Syria issue he has given assurances that the UK will lead the world on aid to Syria. It could be argued that the decision not to go ahead with a military strike has helped investors to choose Sterling as a safe haven and another reason why Sterling has gained against most of the major currencies it trades against.
For more information about how to save money when buying Euros or buying Dollars feel free to contact me by email Tom Holian [email protected]