Some Spanish Banks May Be Allowed To Fail So How Will This Affect The...

Spain agreed today at a meeting of EU finance ministers that some smaller banks may be allowed to fail during the financial crisis- an outcome they had previously said would not be allowed to happen.  The news caused the Euro to weaken sharply again this afternoon, as creditors realised they may lose more money.  So far Spain has been practically bailed out in all but name with the recapitalisation of their banks being achieved from European money, however they have not had to contend...
Pound to Euro exchange rates: Could we be headed for a no deal Brexit?

GBPEUR rates hit 1.28! Will it continue?

The recent moves on GBPEUR have been quite exceptional and yesterday this run continued with the rate hitting over 1.28! Spanish borrowing costs rose one again above the 7% threshold seen as unsustainable and the outlook for the Euro which I suspect will remain together, looks to be further weakness. When the debt crisis was only concerning Portugal, Ireland and Greece it was manageable due to their relatively low contribution to Eurozone growth (about 10%). And we always said that the real troubles would start once...

Sterling Euro Rates Hit 1.28 With Sterling Still The Lesser Of Two Evils

Euro woes continued today as once again Spanish bonds stay above 7% whilst French yields actually dropped.  The stark difference in borrowing costs between the haves of northern Europe, and the have nots from southern Europe has been driving the Euro sharply in the wrong direction for the last few months and very noticeably within the last few weeks as the Euro has lost over four cents against the pound in that period. GBP EUR rates have broken through 1.28 and the move suggests a...

UK Retail – GBP change

GBPEUR rates have stayed steady over the last 36 hours as little surprises from the market have resulted in little change. The real news of note is from the conversations had by the head of the FED over the last two days, the general tone was negative which hit investor confidence resulting in GBP strength. Today we have the retail figures for the UK being released at 9:30. This is of big importance and will drive prices across the board today. Why? Well Retail in the...
GBPEUR rate remains steady as markets await the Autumn Budget

GBP/EUR Hits Fresh 4 Year High – 1.2750 on the markets!

A new four year high was hit on GBP/EUR during Thursday's trading, as levels touched 1.2769 on the Interbank. This is further proof that the ECB's decision to cut interest rates has hit the single curreny harder than many anticipated. When you take into account the spiralling Spanish bonds and revelation by Italian leaders that they too will most likely require a finiancial bailout, it is no wonder investors are running for cover as the European debt saga rumbles on. Euro sellers must be wondering if their luck is ever...

Pound Euro prediction what will happen to GBP – EUR? Will the Pound fall...

With the U.K recording the wettest April, June and April - June on record many of my U.K based clients have not had a lot to celebrate. The good news for those in the process of looking to buy overseas, carrying out building work overseas or should your company import from Europe then at last after a couple of years of doom and gloom there has been some movement back in the right direction. The big question on the lips of everybody is generally 'will it...
GBPEUR rate remains steady as markets await the Autumn Budget

Euro interest rates dropping??

GBPEUR rates continued to fall yesterday as rumours spread that the Europeans could lower their interest rate further in an effort to boost growth. As regular readers will know, Europe’s banking crisis seems to be getting worse, not better, even after 4 years since the crash and following economical failure started.  Bond markets, which are a barometer of confidence in a countries outlook, have also been climbing in both Spain and Italy. It was down to these two factors that rates pushed to a fresh...

1.27 on the markets! But for how long? Why this is a very important...

The rate seems to just keep on giving for anyone buying Euros lately. The long list of woes concerning the Euro has not gone away and it is almost farcical the lack of action we have seen. Last week Italian borrowing costs shot up and the shockwaves from the ECB rate cut are still being felt. If you are selling Euros and are shocked at the way things have gone lately feel free to speak to me to find out why the rate is...

Future EURO prices?

GBPEUR rates have continued to climb today as the risks that Italy will need a bailout intensify. Readers of the blogs here who read yesterday would have heard about the underlying issues with Italy as confidence falls, their borrowing costs rise. The easiest way to measure the markets confidence in a country is to watch the bond markets. This is where countries raise money by offering a return. They have to raise a certain amount each month and depending on the demand they...

GBPEUR at 4 year high, will it last?

GBPEUR has hit close to a 4 year high today but will it last? The economic challenges ahead for the UK will persist and anyone thinking it will be all plain sailing up to 1.30 or 1.40 would do well to remember just how far the rate has already come and look closely too at the economic conditions surrounding the pound. They are not good which is why sterling is dropping against many other currencies. The Euro has weakened by over 14% in the last year...