Sterling is still looking good against the Euro as German data came in slightly below expectation this morning. With little UK data of note today and Monday being a bank holiday, it looks like the pound should sit at current levels fairly comfortably against the Euro, as market focus moves on to whether the ECB will have to intervene at their June meeting. We do have German unemployment figures out on Wednesday which could have some bearing on sterling euro rates, however I think it is central bank policy that will really drive things. The Bank of England are desperately trying to hold the pound back, pushing back expectations of interest rate hikes in the UK, but consistently improving UK data is slowly pushing sterling up. The danger is that if the ECB dont act in June, the Euro could strengthen back. If you are looking for a GBP EUR exchange and are not of a gambling nature then you may wish to cash in next week – feel free to email Colm at [email protected] and I would be happy to explain how our services work and secure GBP EUR rates over 1.23!
If you are buying Dollars then there is plenty of US data out next week with US Durable Goods on Tuesday and GDP revisions on Thursday. US data of late has been a little underwhelming, and the Fed have taken a very dovish approach to monetary policy which saw sterling hit some of the highest levels since 2008 the other week! However if and when these data sets pick up then a change in tone is expected by the Fed at some point. Given the pound will likely be held back a little by the Bank of England, I think these great buying opportunities on the Dollar may not last more than another couple of months at most before things slide back and markets price in US improvement. Again feel free to email me Colm at [email protected] to buy USD at best rates.
On the Aussie Dollar front the trend looks as though sterling should sit in the early 1.80’s safely now for a while following the recent RBA minutes downgrading growth expectations slightly- suggesting that either the economy will slow slightly, or that they are prepared to talk Aussie exchange rates down in any event! To this end I would be tempted to secure rates and avoid the risk that sentiment turns again given how volatile GBP AUD rates have been. I have suggested the use of stop loss and limit orders to many clients given the way the rates have peaked and troughed over the last few weeks and this seems to have worked very successfully. If you would like to transfer money to Australia and want to get the best exchange rates on Australian Dollars then feel free to email me and find out more about our money transfer service- [email protected]
Its a bank holiday weekend so any enquiries will be replied to on Tuesday- enjoy folks!
