GBP EUR Recovers from Early Losses on EU Trade

GBP/EUR stuck at pivotal point of 1.15 – Will rates break above or...

Sterling is currently sat around the 1.15 mark against the Euro and appears to be fairly range bound as we head towards the end of the trading week. Yesterday saw the most volatility for the pairing that we have seen this week following the European Central Bank interest rate decision and press conference, this led to a little Euro weakness and Sterling moving back up through 1.15. This rise was short lived however, as profit taking knocked the pound back below 1.15 and now we...
GBP EUR Set for a Key ECB Rate Meeting 

GBP/EUR hits 1.15

Draghi hints at prolonged QE Today at the European Central Bank (ECB) monetary policy meeting Mario Draghi the head of the ECB has indicated that Quantitative Easing (QE) could well continue into 2019 despite earlier hints that it would be ending this year. QE is pumping money into an economy in order to stimulate growth, current monthly increments are €30bn, if there was to be a cut you would expect the Euro to strengthen significantly. News that  QE could continue has caused GBP/EUR to move...
Pound to Euro – Sterling Rises on Reduced Chances of Negative Rates

How will the ECB and the BoE move rates?

The BoE (Bank of England) and the ECB (European Central Bank) are going to be the main talking points that come up in the weeks ahead as we get further clarification on the final outcomes of economic policy for both central banks. The decisions by both teams will more than likely lead to movement on GBPEUR rates and these two events are well worth monitoring closely. Tomorrow is the ECB interest rate decision which could easily trigger some volatility in Euro rates since there is...
GBPEUR Forecast – Internal Market Bill Drives GBP Lower

Is the trend of a strong April for the Pound about to end?

The seasonal trend of the Pound gaining throughout the month of April looks set to end this month, which is coincidentally the 13th month unlikely when the Pound is compared with the US Dollar. The Pound tends to perform well against most major currency pairs including the Euro during April, with the trend being attributed to the new tax year and a lot of dividend payments being made around this time in GBP denominated equities. It looks like 13th time unlikely as the Pound is trading...
GBP USD Exchange Rate Nudges Higher Ahead of BoE Announcement 

Pound weakens after hopes of a rate hike in May are dampened, where to...

Financial markets had been pricing in an interest rate hike from the Bank of England since some bullish comments from the Bank of England last month. The hopes of a rate hike have since dampened after some important comments from the governor of the Bank of England. Yesterday evening whilst speaking to the BBC, Mark Carney cooled expectations of a rate hike next month after not confirming that it would actually happen. There have been a few members of the BoE that have already voted...

Drop in Inflation decreases probability of BOE Rate hike (Daniel Johnson)

Is a rate hike in May by the BOE still likely? Yesterday we saw the release of Consumer Price Index (CPI) data. CPI is a key measure of inflation and there was a fall to 2.5%. In order to have a healthy economy it is important that average wage growth be close to parity with inflation and this is currently the case, with average wage growth (2.8%) currently sitting above inflation. Although this could be seen as very positive, could it be considered a danger...
A Rollarcoaster Week for GBP EUR - Weekly Review June 18th 

Will GBPEUR go even higher?

The pound to Euro exchange rate is now touching the best rates since May 2017 which easily begs the question can this continue? GBPEUR has touched 1.16 in what has been a very positive few weeks for the pound and some uncertainty for the Euro as investors look to the Bank of England poised to raise interest rates, whilst investors brace themselves for the ECB, European Central Bank to be less positive. The next big piece of news tomorrow morning is Inflation data which is...
GBP EUR Rallies Back to 1.1800 After House Price Boost

Will the GBP/EUR rate breach 1.16 this month, and what’s causing the Pound to...

Sterling has performed well once again today, gaining by almost half a percent against the Euro and almost hitting 1.16 at its highest point. Sentiment surrounding the UK economy and the Pound's value moving forward has been improving recently, as the economy and a number of important stumbling blocks have been passed. Hopes of an interest rate hike from the Bank of England next month have jumped to the extent that the hike is almost set in stone. The BoE has hinted on numerous occasions...
Euro Trades Below $1.08, Triggering Options Markets to Flash Warnings

Sterling to Euro rate now sitting comfortably above 1.15, is a move closer to...

Yesterday GBP/EUR broke through 1.15 once again, although this time the pair have consolidated above this previous resistance level meaning that the pair are now trading in new territory. Since the transitional agreement was agreed between the UK and EU negotiators sentiment surrounding the UK economy moving forward has improved, and this is behind much of the Pound's recent gains. The Euro has also been coming under pressure as inflation levels within Europe aren't quite as high as the ECB had hoped before cutting back...
GBP EUR Higher After French Economy Shrinks

GBP/EUR Forecast – Sterling Struggling to Make an Impact Above 1.15 (Matthew Vassallo)

Sterling has held its been position against the EUR of late but so far has struggled to make any impact above 1.15. The EUR continues to find support around this threshold, as it has done every time it has been tested over recent months. There is no doubt the Pound has gained a foothold following a strong run of UK economic data and progress in Brexit talks but is the Pound likely to break through the current levels any time soon? Whilst it is impossible to predict...