Sterling Euro Rates set for 1.40? (Tom Holian)

GBPEUR exchange rates have been trading both above and below 1.40 during the last week as feast persist of a Grexit.

Greece is due to repay EUR1bn in May and at the moment they appear to be raiding public sectors and services in order to raise the funds required to make their next repayments.

This is not good news for Greece nor the Euro which is why the rates for GBPEUR have remained strong in recent trading sessions.

The Eurogroup meeting held on Friday did little to resolve anything.

At the same time the UK election race appears to be heating up. However, with no majority being formed this could result in another hung parliament leading to instability for both the country and Sterling.

When this happened during 2010 the Pound quickly fell against the Euro until the coalition was formed.

UK GDP is due out on Tuesday which is likely to cause some volatility for the Pound vs Euro. However, the biggest date release of the week will come on Thursday as the Eurozone releases both inflation data and unemployment figures. If the data is low expect Sterling to break through 1.40.

If you have a currency transfer to make and want to save money on exchange rates compared to using your bank then contact me directly for a free quote. Tom Holian [email protected]