Pound to Euro Forecast - Leadership Contest Drives GBP/EUR Rate Lower

Sterling to Euro rate continues to trade towards the lower end of its current...

The Pound is continuing to come under pressure as we get closer to the election, especially as a number of prominent opinion polls this week have shown that the lead the Conservatives had is diminishing with some suggesting that they may not win a majority of seats required. If the option polls are correct we could be looking at another Hung Parliament in the UK which I believe would push the Pound lower and probably back towards the 1.10 mark. The current trend for the GBPEUR...
Pound to euro Awaits ECB Rate Decision for the Next Path

Sterling Still Riding High Following Last Week’s Positive GDP Data

The UK economy was given a huge last week following the release of UK GDP (Gross Domestic Product) figures. The expectation had been for our economy to grow by 0.6% during Q3 of this year but the actual figures surpassed this, showing a very positive 1% growth. This gave the markets a confidence boost and although these figures will have two revisions to navigate, the news can only be viewed as positive for the UK economy and ultimately Sterling. GBP/EUR rates continued to climb throughout last...

Sterling Improves against the Euro (Tom Holian)

Sterling Euro exchange rates hit 1.21+ today following comments made by ECB President Mario Draghi over the weekend that the ECB may consider Quantitative Easing if infltion continues to remain low. The problem this could have on exchange rates is that it is likely to weaken the Euro if QE takes place as had happened on previous occasions. With GBPEUR rates close to a 2 month high last week it could now be a good time to sell Euros if you’ve been hanging on waiting. Draghi...
GBP EUR Looks to Employment Figures for Support

GBP/EUR rates set in limbo today (Joshua Privett)

At the end of last week GBP/EUR rates fell sharply into the mid 1.34's with the alarming announcement that the UK construction sector had contracted by more than 4.3% in a single month, the biggest such fall in two years. The exaggerated fall in Sterling strength was due to the more long-term implications of this data. Arguably, since the 2007/8 financial crisis, the most important factor for the value of a currency is its timeline to raise interest rates from their historic lows. This form...

Today’s BoE Report Key to Sterling Recovery (Mathhew Vassallo)

Today we have the release of the latest Quarterly Bank of England (BoE) inflation report and this is likely to be watched closely by investors. It could also play a key role in any potential Sterling recovery, as it gives the markets an overview of any future monetary policy changes and the UK’s general economic well-being. If the BoE’s stance is bullish then it is likely Sterling could recover some of the ground it has lost against both the EUR & USD, both of which...
GBP EUR Starts the Week on a Positive Note

GBP/EUR almost at 1.35! (Joshua Privett)

The slide for GBP/EUR exchange rates has continued since the Bank of England's decision not raise interest rates in the UK yesterday and distinct lack of a positive tone in the minutes they released at the same time. The lack of any data releases today to divert attention meant markets were being influence be the same interest rate announcement at noon on Thursday. The release of minutes themselves are what has caused such a stir. China was mentioned 10 times across the 7 pages of the...
ECB interest rates and Brexit update

Where next for GBP/EUR rates / Greek debt swap deal reaches pivotal point /...

GBP/EUR rates have been hovering just below 1.20, as markets wait for confirmation that Thursday’s deadline for the Greek debt swap with its private creditors will be met without any further surprises. This debt swap will enable Greece to immediately wipe over 100 billion Euros off its national debt and is essential if the country realistically wants to remain part of the eurozone and its single currency. If this deal goes through we could well see some initial Euro strength, although I do not...
GBP EUR Looks to Employment Figures for Support

GBP/EUR Rates Back Through 1.28 (Matthew Vassallo)

GBP/EUR rates have moved back through 1.28 during Friday’s trading. Sterling continues to find support around the current levels, with many investors now waiting for the pair to hit 1.30. Personally I still feel another shift in market conditions will be needed to breach that level, despite the Eurozone falling in to Deflation this week. There was mixed economic data out for the UK this morning, with a fall in Industrial Production but a positive reading for the latest Manufacturing data. If you have an upcoming...
GBPCHF Exchange Rates Reach Highest Levels Since Mid-March

Euro Inflation Tomorrow And Could Trigger Euro Weakness

Whilst I think tomorrow's UK unemployment figures will be important, I think it is unlikely they are going to cause any significant sterling movement  as I expect them to come in on forecast.  For me the more important news will be the European inflation data out at 10.00 am as this is likely to be a huge driver for what the ECB may do in the coming weeks.  If inflation comes in on the low side then it could be the catalyst for ECB...
GBP EUR Exchange Rate: The Week Ahead September 19th

Sterling Gains Recced as Afternoon Unfolds (Ben Fletcher)

The GBP/EUR rate begun to recced after reaching a high of 1.14. The boost today came after comments from Bank of England Monetary Policy Committee member Andy Haldane who suggested he will vote for a rate hike later in the year. Haldane is the Bank of England Chief Economist and is considered a key influencer for the group. His comments come a day after Governor Mark Carney announced he doesn’t see a need to start raising rates interest rates just yet. What the movement today...