The Pound has moved upwards vs the Euro during Friday afternoon’s trading session following the recent local elections which saw the Tories and Labour party lose a large number of seats between them.
The Tories lost by their biggest number since 1995 and many senior Tories are encouraging the party to progress the talks in order to deliver Brexit.
The disappointing results for both parties could mean that they will be encouraged to come to a resolution as soon as possible and this is one of the reasons why the Pound hit a multi-week high against the Euro on Friday afternoon.
Indeed, it has been rumoured that Theresa May may even be considering the idea of accepting a permanent customs union with the European Union.
At the end of the week Prime Minister Theresa May made it clear that the British people want “to see the issue of Brexit resolved”.
Also, this week the Bank of England once again kept interest rates on hold on Thursday. Growth forecasts were increased and Bank of England governor Mark Carney suggested that a no-deal Brexit will not happen which gave the Pound a lot of confidence against a number of major currencies including vs the Euro.
As we head into next week the Brexit topic will continue to remain the main driver of Pound Euro exchange rates but make sure you pay close attention to Friday’s GDP data for the first quarter of 2019. Expectations are for growth of 1.4% for year on year growth which will remain in line with that of the final quarter of last year so if the data comes in the same or better than expected this could provide the Pound with a further boost to end the week.
Having worked for one of the UK’s leading currency brokers since 2003 I am confident of being able to offer you bank beating exchange rates as well as helping with the timing of your currency transfer. If you would like a free quote when buying or selling Euros then contact me directly and I look forward to hearing from you.