GBP/EUR forecast: Pound improves against the Euro after strong UK employment data

Pound to Euro Rates Marooned Under 1.12 as UK Political Battle Intensifies

The Pound has broken past 1.14 against the Euro during this morning’s trading session after some very positive unemployment data that was published yesterday morning.

UK Employment figures showed their best levels since records have begun and this helped the Pound hit a 2 month high against the single currency, which is very good news for anyone looking to send Euros to the continent.

Combined with the positive employment data the UK showed that borrowing figures had gone up for the month of December but as UK debt stands just shy of £1.79trn or 86% of Gross Domestic Product this was not too much to worry about.

UK Mortgage Approvals data due this week

The next UK economic data of note for anyone with an interest in Sterling exchange rates will be the release of housing data in the form of UK Mortgage Approvals due to be published on Friday morning.

The housing market has been coming under pressure recently with many buyers adopting a wait and see approach with Brexit looming and this could be revealed with the data coming out lower than expected on Friday morning so make sure you pay close attention to this particular release.

Meanwhile, the value of the Pound continues to be driven by Brexit which has moved in an upwards direction so far this week after the release of Theresa May’s Plan B option for the deal.

Theresa May is currently in Europe aiming to try and get some amendments to the current plan, including trying to come up with a better solution to the Irish border issue which currently does not appear to work for both parties.

The plan was voted down last week by a majority of 230 votes and although this was the lowest vote in history for a UK government the reason why the Pound actually gained across the board is that it appears as though Article 50 may be extended and the UK could be headed for a softer Brexit.

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