Sterling Euro Exchange Rates Break 1.30 (Tom Holian)

Sterling Euro exchange rates have once again tipped past 1.30 as the UK economy shows signs of recovery whilst the Eurozone shows signs of further problems.

With Boris-Gate last week’s news Sterling has witnessed 3 days of consecutive improvement against the Euro providing some good opportunities to buy Euros with Sterling.

With Eurozone Retail Sales data due out later this morning the consensus is for lower than last month and I think we could even see this worse than the expectation. Indeed, Eurozone Retail Sales have fallen almost every month since March 2015.

Services data is also released for the Eurozone and I think we could also see a slowdown causing Euro weakness.

If you look at GBPEUR rates during the last few weeks and compare the economic data between the UK and the Eurozone there is not a lot of difference and so the reason for the fall in Sterling is primarily to do with the Brexit topic.

Although personally I don’t think we will see the UK leave the European Union the uncertainty will likely cause a lot of volatility for exchange rates over the next few weeks in the run up to the referendum due to take place on 23rd June.

The big event to watch out for this month for Euro buyers and Euro sellers will be the European Central Bank meeting due on 10th March .

With Eurozone inflation still worryingly low then I would not be surprised to see the ECB increase the volume of Quantitative Easing which could see GBPEUR rates move very quickly.

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]

Alternatively call 01494-787478 and ask for Tom Holian when calling and I look forward to hearing from you.