As predicted with my post from last weekend the Pound has already had another difficult week so far against the Euro.
The Pound is now trading at its lowest point vs the single currency in 4 weeks as the Pound continues to be negatively affected by what is happening with the ongoing Brexit talks.
There is a lot of political unrest caused by some Tory members looking to form a group to campaign for a leadership election.
The Pound made some positive gains during September on the rumours that an interest rate hike may be coming which saw GBPEUR exchange rates hit 1.14 but since then the Pound has lost 3 cents vs the single currency which can make a big difference when buying Euros with Sterling.
With the Bank of England due to meet on November 2nd to discuss their latest monetary policy I personally would be surprised to see any change in interest rates.
My reasoning is that although UK inflation is running high at 2.9%, average earnings are lagging behind which means if an interest rate hike happens then this will increase the cost of borrowing and therefore consumers will have less to spend which could harm economic growth.
Many of the ECB members will be speaking publicly including ECB president Mario Draghi.
With rumours circulating that their current QE programme may be reduced in December I think when the talks commence tomorrow we could see further Euro strength vs the Pound.
If you have a currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency.
A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Tom Holian) on [email protected] and I will endeavour to get back to you as I can.