Once again Greece is the main on-going focus, with even the BBC printing articles indicating a Greek exit. Sundays emergency referendum has the makings of the ‘beginning of the end’ for the Greek membership of the Eurozone, as Alexis Tsipras (Greek PM) is openly recommending a NO vote. This would essentially cut Greece out of the Euro and Eurozone and a return of the Drachma could be on the cards. I personally do think that the Greek people will vote NO, however the exit from the Eurozone will be a drawn out as their debt negotiations!
I’d be looking to SELL Euros whilst rates are in the 1.40s as there is a much greater risk of rates pushing higher than dropping to say 1.35! Euro buyers may be wise to move when rates push north of 1.4125…
Unspectacular GDP details this morning have not boosted the Pound – neither did the Eurozone inflation figures that were released shortly after…
USD
Key US Nonfarm Payroll figures dominate this weeks USD data, as Dollar holders hope for both an improved unemployment figure and a good amount of new jobs created.
I personally think that the 1.57s are the top of the current trading range with a move back towards the 1.50 level more realistic. Although this won’t be a swift drop I wouldn’t be surprised to see levels get to 1.55 by the end of the week.
The Dollar should also benefit from a flow of currency from Euro holders as fear of a Greek exit will tempt investors to leave the single currency.
If you do have an exchange requirement feel free to get in touch. Either drop me an email to [email protected] or call the trading line directly on 01494 787 478.
look forward to hearing from you…