GBP/EUR rates of exchange have been enjoying the lifting of some of the pressure on Sterling which was implanted into the markets last week.
Will Euro buyers finally be seeing a turnaround? It’s unlikely. Already markets are finding resisting when try to rise above the elusive central level at 1.29.
There is simply not enough momentum for positive sterling news to carry us through that level. Frankly the news isn’t really being classed as positive, simply less negative. The loss of value on the financial markets has already been made clear, the losses have simply ceased for the time-being.
The reason this has hurt Sterling so much is due to our reliance on the financial service sector for growth and national revenue.
Moving forward, the same background factors which have been causing Sterling to weaken on the markets since the middle of December are still pervasive. That being the slowing economy which George Osborne and Mark Carney (Governor of the Bank of England) have alluded to over the past few weeks.
This Cent improvement for Euro buyers is a similar gift that many seized a few weeks ago, before improvements gave way to a fall of a further five cents.
Seizing opportunities presented in whatever form in a down market tend to produce happier market participants in my experience, and personally if I had a Euro requirement, I would looking to move sooner rather than later, particularly with markets dropping as Friday afternoon continues.
Anyone with a Euro requirement can contact me [email protected] in order to discuss a free quote on your transfer in order to maximise your currency return.
If you cannot reach me before the weekend begins, currency markets barely move in that period, so feel free to reach out over the weekend and we can discuss how to approach any expected movements on Monday.