Pound to Euro Starts the Week off Steady

Will the pound weaken again?

Sterling exchange rates hang in the balance once again following a day of poor performance in yesterdays session. The pound dropped close to monthly lows against euro while also losing value against the US dollar and a basket of other currencies. Sterling has opened this morning on a more positive footing. The announcement that cryptocurrency giant Binance would not rescue their competitor FTX triggered a significant sell-off in the crypto markets. A number of asset funds are invested in the crypto sphere meaning a sell-off...

Strong start to the week for Pound Sterling – What could this week bring...

We have seen a strong start to the trading week for the Pound against every major currency, as Sterling exchange rates have bounced back from losses towards the end of last week. The Pound did drop off at the back end of the week due to a fairly dovish tone set out by the Bank of England at the BOE interest rate decision, where the markets were informed not to expect as greater hike in interest rates in the coming months as had been originally...
A Rollarcoaster Week for GBP EUR - Weekly Review June 18th 

Sterling remains stable after ECB interest rate hike

The European Central Bank (ECB) confirmed yesterday that interest rates in the eurozone would be raised by 75-basis points. Euro sellers would have been hoping for a bounce in rates following the decision, but the single currency softened against a number of major currencies. It is likely that a 75-basis point hike was already priced into the rates with the figure well reported a couple of weeks ahead of time. The decision proved positive for GBPEUR, with the pound pushing close to monthly highs. Bar the...
Pound to Euro Gains After Weaker German Retail Sales

Pound Sterling strikes back against the Dollar as ECB decision looms

Cable rates (GBPUSD) climbed to 6-week highs yesterday as the pound continued its comeback following the announcement of Rishi Sunak as the next Prime Minister. The pound also enjoyed improvements against the euro and the Canadian dollar. Gaining more than a 1% against the latter by close of play. Sterling opens the day a little softer. Political instability can weigh heavy on a currency and the last few weeks have been far from stable in the UK’s political arena. Jeremy Hunt was re-confirmed as Chancellor of...

Pound set for another eventful day – Will the Pound rise or fall?

The Pound is set for a fairly volatile trading day again today, with politics being firmly in focus over the course of the day. The latest Chancellor Jeremy Hunt is due to release an emergency statement on the mini budget at roughly 11am today, which may involve further U-turns, tax hikes and changes to the plans laid out by Kwasi Kwarteng merely a few weeks ago. That mini-budget sent the markets into turmoil and dented the pounds value significantly, his exit and a U-turn recently have...
GBPEUR UK election: Why haven't pound to Euro exchange rates fallen?

Pound hits record low against the US Dollar, and drops significantly against the Euro

Yesterday was a very difficult day for the Pound as financial markets appear to have lost faith in both the Bank of England’s monetary policy and the new cabinet’s mini budget. Last Thursday the new Chancellor of the Exchequer, Kwasi Kwarteng announced his mini-budget outlining plans for a raft of tax cuts. Then over the past weekend he pledged further tax cuts in order to try and reinvigorate the UK’s stalling economy and attempt to counter the increasing inflation rates not seen in decades. His plans...

Why Are Sterling Exchange Rates So Low? Why Is The Pound Dropping?

Sterling exchange rates have taken another huge hit overnight as the trend of weakness for the pound continued straight at the start of the open on the Asian markets last night. The Pound dipped all the way down to the 1.02s against the Dollar and the 1.07s against Euro as investors and speculators rushed to drop the currency and this caused a great deal of weakness. So why are Sterling exchange rates dropping? Since the announcement of the mini-budget and Kwasi Kwarteng's plans to cut taxes we...

Pound Sterling Weakness – Why Is The Pound Dropping So Much?

Sterling exchange rates have taken a huge hit over the course of the days trading, as the new chancellor Kwasi Kwateng's mini-budget appears to have knocked the pound totally out of fashion. The pound has lost over 350bps against the Dollar sitting in the 1.08 territory, whilst dropping to 1.12 against the Euro and hitting the lowest level against the Swiss Franc since 1974 sitting in the 1.06s. There is now talk of an intervention and whether HMT will make an attempt late on Sunday night...

Fed hikes interest rate by 75 basis points with key BoE meeting looming

Yesterday evening the US federal reserve raised interest rates by 75 basis points. Raising the policy rate from 2.5% to 3.25%. This is the third 75 basis point hike in as many meetings by the Fed, highlighting again their intention to take a strong stance on inflation levels that have spiralled out of control. "The committee is strongly committed to returning inflation to its 2% objective," the Fed said in a statement. Markets now expect US interest rates to finish the year above 4%. For...
GBP EUR Could Head Lower After Growth Revisions

Three Key Events in a Vital 72 hours for GBPEUR and GBPUSD Exchange Rates

The beginning of this week in the UK was very sombre with Her Majesty’s funeral and a UK Bank Holiday. This meant UK markets were shut, and ensured a fairly sleepy start to the week from a currency perspective, with sterling still nestling in the doldrums following the poor Retail Sales data from last week. The rest of this week looks far from calm however, with three key events that could trigger market movements for the pound, US dollar, Euro and many other currencies. The...