Sterling Euro exchange rates have tumbled since December with rates to buy Euros now as much as 16 cents lower.
This is a huge amount of difference when it comes to sending money to Europe or when buying a property abroad during this time.
Many individuals have seen the benefit of buying a Forward Contract which allows you to fix an exchange rate for a future date. This removes the uncertainty and lets you budget accordingly without having any nasty surprises.
With the Brexit still looming, the Bank of England changing their voting pattern from 8-1 to 9-0 in favour of keeping interest rates on hold and with inflation not predicted to hit the target of 2% until 2018 things for the British economy are clearly not looking good.
This is being reflected in Sterling exchange rates not only against the Euro but also against many other currencies as well.
The UK’s Consumer Price Index is due for release of Tuesday which measures inflation and I think this could come out worryingly low again as with oil prices their lowest levels in years this could cause big losses for Sterling on Tuesday.
On Thursday the ECB meeting minutes are published and with ECB president Mario Draghi ready to take necessary action in order to support the Eurozone I think the minutes could see further Euro strength vs Sterling.
If you have a currency transfer to make and want to save money on exchange rates compared to using your own bank then contact me directly for a free quote. Tom Holian [email protected]