We are now just less than 4 weeks away from one of the biggest economic events in British history when the UK votes in the EU referendum on 23rd June. Currently it appears according to various opinion polls that the Remain camp are leading but as the vote is democratic anything could happen.
This weekend former Prime Minister Tony Blair spoke about the issue claiming that leaving the EU would create ‘an enormous economic problem.’ Tony Blair spoke on BBC yesterday morning and he has come out in favour of the UK remaining part of the European Union. He also claimed that leaving would result in ‘years of uncertainty for the UK’.
So far there has been huge public backing for the Remain camp including UK government, Bank of England, IMF and the European Union itself so or me I think it is difficult to see the UK not voing to remain in.
Over the last quarter UK industrial and manufacturing has come out very low and hitting 3 year lows recently. This has been caused by a lack of overseas investment in the British economy whilst the future is uncertain and until we see what happens in just less than a month the currency markets remain very fragile and open o big swings for Sterling vs Euro.
Indeed, Sterling Euro exchange rates have seemingly overlooked the most recent economic data releases with the Brexit talks tending to cause volatility for exchange rates.
However, Eurozone inflation is published on Tuesday and anything different compared to the expectation could cause the European Central Bank to once again look at extending Quantitative Easing, which could cause volatility for Sterling Euro rates when the ECB meets on Thursday to discuss their latest economic policy.
If you have a currency transfer to make and want to save money on exchange rates compared o using your own bank then contact me directly for a free quote. Tom Holian email@example.com
We are now just less than 4 weeks to go before the UK decides its future in the European Union and the currency markets are approaching one of their most uncertain periods in years.
Sterling vs the Euro has hit a 4 month high recently with the Interbank levels briefly touching 1.32 earlier this week.
The exchange rates are being moved by sentiment surrounding the Brexit vote and a few days ago a YouGov poll showed that the Remain camp were leading in the polls.
My personal suspicion is that the Remain vote will end up winning when the voting opens on June 23rd. The reason why I think this is because of the huge backing.
The UK government, Bank of England, International Monetary Fund as well as the European Union have all spoken out in favour of the UK remaining in the European Union so for me it is difficult to see anything but the UK vote to remain.
However, as the vote is democratic it will ultimately be the British public who will decide the outcome and with that in mind we could see some big swings for Sterling Euro exchange rates during the next month.
Many of my clients have been choosing to safeguard their exchange rates with a forward contract which allows you to fix an exchange rate for a future date.
This is especially useful if you have transfers to make over the next couple of months as it means you can guarantee your exchange rate and it will eliminate the risk of what may happen to rates in the run up to the EU referendum vote.
If you need to make a currency transfer and want to save money on exchange rates having worked in the markets for 13 years I am not only confident of offering you a competitive exchange rate but also assure you of excellent service. Feel free to contact me directly Tom Holian firstname.lastname@example.org
Sterling sellers have been presented with some favourable exchange rates recently, as the polls continue to place the ‘Remain’ campaigns in the lead.
News of the ‘Remain’ lead has resulted in Sterling strength as investors feel more comfortable holding money in Pounds whilst there’s a low chance of major changes politically in future. It’s political uncertainty that weighs on currency rates, and this pattern is what Sterling sellers will need to pay close attention to as I think it’s highly likely that should the polls change, so will Sterling’s fortune.
The Pound is currently trading at a 4 month high against the Euro, and personally I’m expecting GBP to fall slightly in the lead up to the Referendum next month on the 23rd as I’m expecting headwinds between now and then. Should any major figures offer their support to the leave camp, I think Sterling could see weakness similar to when Boris Johnson informed us that he’s pro-brexit.
The Euro is facing challenges of it’s own as the ECB’s aggressive financial stimulus packages fail to re-ignite the Eurozone economy which is why I’m expecting the Pound to hold on to some of its recent gains, but not all of them. I think that as we approach the Referendum GBPEUR will be around the 1.28 mark which means that from current levels, I expect GBP to fall by around 3 cents.
If you have an upcoming GBPEUR currency exchange to make you would like to discuss, feel free to contact me (Joseph) on email@example.com in order to ensure you make a well informed decision on when to make that particular transfer, as well as benefiting from highly competitive exchange rates from one of the UK’s leading foreign currency brokerages. Just provide me with a basic outline of your currency requirement and I will be back in touch with you as soon as possible.
Sterling Euro exchange rates have continued to go in an upwards direction throughout today’s trading session as the sentiment appears to be in favour of the UK remaining in the European Union when the Brexit vote takes place on 23rd June.
Indeed, buying Euros with Sterling are trading at their best rates since early February.
A poll released last Thursday as well as another one overnight appears to have the Remain camp firmly in the lead with 55% of the vote.
The bookmakers have also changed the odds to 1-4 on in favour of the UK voting to stay in the European Union.
The economic data for both the UK and Eurozone has been mixed recently and Germany in particular has been posting lots of strong data recently.
However, the driving force for Sterling Euro exchange rates is the ongoing saga of the Brexit vote and with less than 5 weeks to go before the UK votes on the decision the currency markets are set for big movements during this uncertain period.
Many of my clients have been purchasing forward contracts when either buying or selling Euros in the next few weeks as it allows you to fix an exchange rate for a future date.
Tomorrow morning the UK releases the second revision of GDP figures for the first quarter and any change in the estimate of 0.4% could cause some movement early tomorrow morning.
If you have a currency transfer to make and want to save money on exchange rates compared to using your own bank then contact me directly for a free quote. Tom Holian firstname.lastname@example.org
I look forward to hearing from you.
We have very little in terms of key economic data out for Europe this week but there is still plenty out there in the global economy that may impact where the Euro sits at the end of the trading week.
My personal opinion is that I feel the Euro could be set for a tough time in the coming weeks, we still have troubles for Greece and a number of other economies within the Eurozone and the referendum in the U,K may well weigh heavily on the Euro as well as Sterling. The reason for this is that should the U.K decide to leave the EU (although this looks unlikely at present) then this may open the door for a number of other countries to look to follow suit which could be really bad news for the EU and indeed the Euro.
This morning we have net borrowing figures in the U.K which may impact Sterling and later today we have new home sales data out in the States.
My personal opinion is that I would not be surprised to see GBP/EUR go back through 1.30 by the end of this week and EUR/USD to remain fairly range bound.
If you have the need to buy or indeed sell Euro for your business, due to a property purchase/sale or for any other reason then it is important to have a proactive broker on your side and one that can get you the very top levels of exchange – It is very easy to settle for second best in this market but it is key to realise that even the slightest improvement in a rate of exchange can save you a huge sum of money.
If you would like to have a brief discussion with me (Daniel Wright) as to how I will be able to assist you with any pending currency exchange then feel free to email me directly on email@example.com and I will be more than happy to get in touch with you personally. We can cater for people inside our outside of the U.K and carry out bank to bank transfers.
The pound has slipped from its recent peak against both the Euro and US dollar following the most recent EU referendum poll which put the Remain campaign firmly in front. GBP EUR has just slipped from a 3 month high although rates remain very attractive for this pair.
The fear engine for the Remain campaign has gone into overdrive again with George Osborne and David Cameron suggesting Britain will most likely go into a recession if Britain decides to leave the EU. They have also said that house prices will go down. With GDP running at just 0.4% for the first quarter at the moment then my view is that we may go into a recession anyway whether we stay in the EU or not. A cooling of the housing market which would affect everyone equally probably wouldn’t be a bad thing, especially for first time buyers trying to get on to the property ladder. Expect more volatility going forward as politics are very much the driving force for sterling exchange rates .
UK GDP numbers are released on Thursday and for me will be the main event this week for the pound. A weak figure is likely to result in sterling weakness. I am expecting to see a lower figure at just 0.3% which is in line with the expectation from the National Institute for Economic and Social Research. It would appear there is a much greater chance of the pound weakening rather than climbing higher with a looming referendum and considering sterling’s recent rapid rise higher.
If you have an upcoming GBP or EUR currency requirement either buying or selling and would like to be kept up to date with key market movements, or simply wish to compare our award winning exchange rates then please feel free to contact me on 0044 1494 787 478 and ask one of the team for James. Alternatively you can email me directly at firstname.lastname@example.org