Unfortunately for Euro buyers hoping for a positive result from the election, buying Euro rates saw a similar deterioration to what was witnessed following the Referendum. In both instances the polls got it wrong once more.
So what next? We are about 10 hours away from some clues, given that Asian markets open far earlier than the UK we will see what the bets are on the near-term future of the Pound’s value.
Frankly, with the weekend politics and the beginning if Parliamentary debates on this Government’s agenda beginning tomorrow, I do not anticipate a strong recovery for Sterling. At least until a few things have been cleared up.
Firstly, what will the new Commons look and sound like?
Theresa May has formed a minority Government, with the support of the DUP. We will hear from her legislative agenda what concessions have been made to them, and whether there would be heavy opposition in Parliament from the other parties, particularly a strengthened Labour party.
Effectively markets wish to know that the UK Government can continue on a strong footing with their legislative agenda. Currently it seems the Government is in a weakened position, and anyone with a Euro buying requirement needs to hope that the narrative changes and a strong front is put forward in the Commons this week.
I am well positioned to assist anyone with a buying or selling Euro currency requirement to time their transfer and stay informed in this fluid marketplace. You can contact me directly on [email protected] to discuss a strategy for your transfer and your options.
One final point is that I have never had an issue beating the rates of exchange on offer elsewhere, and these current buying levels can be fixed in place for a future requirement you have planned using only a small deposit, eliminating any risk from further currency exchange movements.