The pounds value has continued to fall this week giving buyers of the pound a welcome opportunity to get a much better price than over the last 3 months. Levels today, especially against the euro, are towards the best seen for a few months.  The reason for these falls can be put down to a multiple of reasons.  Generally data in the single currency has been improving a the euro has been taking the position as a safe haven sharing the title with the pound.  Money seems to be flowing between them meaning values are reflecting the demand.

Spain has recently also had their credit rating upgraded by several grades following their economic plans following the forecasts even with the cuts introduced over the recession.  Portugal has also released some improving data recently.

The future remains unsure for the GBPEUR pairing for the rest of the month. I personally cannot see to many economic events in the calendar that will give any real movement to the pair and now think it is likely to stay range bound between 1.19 – 1.21.  This different however small still makes a huge difference on your transfer however, buying euros with £200,000 poorly could mean you lose out on over €4,000.

If you would like more information on the potential timing of a trade feel free to contact myself – Steve Eakins – [email protected]