The pound to Euro rate has improved for euro buyers, to what extent will this continue? On balance I expect the market to fall back as further uncertainty over when the UK will raise interest rates resumes! No one should take for granted that this market will just continue to spike higher, markets rarely follow set patterns but you can look to certain fundamentals which will help out!
The outlook for the pound is much more shaky because ‘talk it up’ Carney has once again been shown to be exaggerating sterling and the UK’s prospects creating many a false down for the UK and the pound. I just think it is very risky to put so much reliance on his comments yet time and time again this happens.
If you need to make a currency transaction in the future please speak to me Jonathan about all of your options including the forward contract which allows you to fix a rate for up to one year. Please email [email protected] for more information.