Monthly Archives: August 2013

Euro slides with best exchange rates for buying Euros for sometime. (Ben Amrany)

The Euro has has been a slow decline to against both the pound and US Dollar over the last few days. Yesterday the Euro had its biggest one day loss against the USD in around 4 months. For those of you taht are looking at buying the Euro the current levels represent good buying opportunities with the pound up at 1.1730 and the USD trading at 1.3230.

Looking forward over the next month or so the German election will kick into full flow. Merkel’s latest comments ‘Greece should have never been allowed to enter the Euro could be for votes but I feel that if she stays in government for another term then I think that the Euro could well strengthen shortly after the election time.

Angela Merkel looks to have timed her run to perfection, entering the final four weeks of the campaign with the country’s AAA credit rating intact, unemployment among the lowest in Europe, and the economy growing strongly once again following a dismal winter.

With the Euro currently weakening against both sterling and the US Dollar you probably have around a month’s window to look at your trade. Bear in mind anything can occur so if you see a rate which is attractive then I would recommend capitalising sooner rather than later on a spot or forward contract to minimise your risk to volatile exchange rate fluctuations.

If you would like more information on the currency service that we provide please feel free to contact me at bma@currencies.co.uk I can explain all the options that are available to you pus inform you how you can achieve a commercial rate of exchange through us which could save you up to 4% over the high street banks on your exchange.

Thank you for reading.

Ben Amrany

bma@currencies.co.uk

With the tension in Syria watch out for the impact on exchange rates. GBP/EUR exchange rate trends and forecast (Mike Vaughan)

With the uncertainty surrounding Syria David Cameron held an emergency meeting, after Britain drafted a UN Security Council resolution authorising “necessary measures” to protect civilians in the country. A Downing Street spokesman earlier said Mr Cameron had yet to decide the nature of the UK’s response but it would be “legal and specific” to the suspected chemical attack in Damascus.

The implications the ongoing tensions in Syria could have on the currency markets should not be underestimated and could, in my view, create significant volatility for all major currencies.

GBP/EUR trends

Following Bank of England governor’s Mark Carney’s first major public speech the market found a degree of confidence and this reflected in the value of the pound. Prior to his speech the mornings trading had been negative pushing GBP/EUR rates to a low of 1.155 but finishing the day back above the 1.16 territory. This trend was seen against a host of currencies.

During his speech Carney indicated a “renewed recovery is taking hold” in the UK economy, but its pace will be “more measured than rapid”. He was to also indicate that UK interest rates are likely to remain at record lows of 0.5% for some time until the jobless levels reached a more sustainable level of 7% from the current level of 7.8% (he indicated in the past that he believes this could take three years before this scenario was seen).

A sustained and continued level of low interest rates would tend to de-value a currency; however as his tone was positive regarding the strength and sustainability of the UK recovery and he made little or no reference to further Quantitative Easing which in turn gave the pound a welcome boost.

Should you wish to discuss an upcoming currency exchange you are looking to arrange and would like to know how the currency service we provide operates then please get in touch. We are simply here to help our clients maximise their exchange and better prices offered by the high street banks and other financial institutions. To find out how we can help you with your currency exchange please contact the office on 01494 787478 or email Mike at mgv@currencies.co.uk

 

Best Rates of Exchange – Buying and Selling Euros

Sterling has opened this morning at its lowest levels for just over one week. The midmarket price is currently flirting just under the 1.16 level, and with Mark Carneys speech this afternoon at 12:45.

Mark Carney (current Governor of the Bank of England) is speaking to Parliament this afternoon (12:45). He is looking to reinforce the Forward Guidance plan that he has introduced for the UK Economy. He will look to reconfirm that Interest Rates will stay low for up to two years whilst the UK unemployment improves. Expect volatility GBP-EUR.

There is also the on-going tension surrounding Syria and possible military intervention. I would pay close attention to the UKs involvement as it could affect the value of the Pound. In a time of War, quite often the ‘safe havens’ (GBP & USD) can strengthen, as investors protect themselves and their money.

Should you have a transaction in mind, please feel free to drop me a line to access award winning exchange rates.

Andrew Bromley

01494 787 478

AJB@currencies.co.uk

Key reasons the euro will remain strong in September

The Euro has made further gains against the pound and dollar today and I see no reason this would not continue in September. There are some key reasons why the euro will remain strong in September and if you have not made provisions for such a move, it may be wise to examine your options.

- German Elections - Politically the biggest news for the eurozone next month. Few would have predicted the current situation one year ago when it looked like Greece and maybe even Spain may have to leave the Euro. At the time many quoted figures suggesting a majority of Germans were against further bailouts for Greece. It is now accepted by the German public that more money will need to be given to Greece, it is viewed as a necessary component of further positive ‘European’ developments. No one wants the trouble offered by a Greek exit and latest polls for anti bailout parties are a meagre 2%.

Merkel and her coalition should remain in power, aided by a wave of good economic data lately. The eurozone is out of recession and German growth is at 0.7% now which will undoubtedly keep the Germans confident of the direction being steered by their Chancellor. I predict a Merkel victory and euro strength as a result.

- Eurozone Growth - Lower interest rates and a soothing of bond yields by Mario Draghi have allowed growth to return across the Eurozone. Germany and France have been the key engineers and the surveys so far all point to further improvements for Q3. The problem of Unemployment remains but investors have been overlooking this issue accepting that it will take time for the growth to filter into jobs across the economic area.

What about other currencies against the Euro?

This is the current mood and means whilst the pound and dollar have lately been strengthening, the euro will not just roll over. GBP strength based on better economic performance will not last indefinitely due to the fact the UK’s recovery seems to debt fueled (again) and the US QE tapering situation is well known and priced in the market. Unless they embark on tapering a significantly larger sum of QE than planned major USD strength may be shortlived. Any expectations of a major drop to say sub 1.30 on EURUSD look unlikely to me at present. The debt ceiling has reared it’s ugly head again – this could cause USD weakness (as seen last year) and just reminds us that despite signs of recovery in the UK, US and Eurozone, we should be careful to have too high an expectation this will translate into significantly better rates.

If you have a currency transfer involving the euro I am confident I can save you money and offer you some insight as to when to execute the currency exchange. Even if your exchange is just a one off transfer for a property purchase or sale getting the right rate and moving at the right time is key to getting the best deal. For a free, no obligation discussion of everything relating to your exchange please contact me Jonathan  on jmw@currencies.co.uk 

GBPEUR spiking notifications – buying EUROS – Selling EUROS (Steve Eakins)

The euro has slowly been gaining strength this last week as profit is taken out of the market.  Sterling’s recent rally has been seen by many as a move to much and with the end of the month near I expect to see this trend continue.  There are a few releases which could create a spike in the market tomorrow but the trend I expect to be in Euros favour.

Why is the Euro strengthening? The general consensus is that both profit is being taken out of the market and some wariness by the markets as the single currency wakes up from their summer holiday in August.

Wednesday Bank of England Governor Speech to Parliament

This has the potential to have a big impact on the currency or even nothing at all. It really depends on what is spoken about and the topics of the questions asked.  On the cards will be UK growth, interest rate change and QE stimulus.  Each of these have a large impact on the market so if any of these topics are discussed and if he gives a different view than what is currently priced into the market expect a large move.  The other event that none of the above could be discussed keeping rates flat at that time.  It is an event which people with currency exposure should be aware of and prepared for.  If you for example are weeks away from needing to complete a currency trade, just watch.  However if you are nearer to your deadline or your current limit then LIMIT ORDERS and STOP LOSS orders are the tools to exploit. Contact us here for more information via hse@currencies.co.uk or on the normal telephone number asking for myself – Steve Eakins.

Friday – UK data and the close of the month

The data for the UK includes Mortgage approvals and Net Lending figures.  These generally are expected to show an improvement so expect perhaps some sterling gains.

We also at that time have the closing day of the month meaning Profit taking could have a large impact.  This is when financial institutions and speculators take the profits they have made on the month and reset their investment levels.  With this additional demand for the currency it can have an short term impact on both Sterling and the Single Currency creating opportunities for the quick minded.  SPIKE Notifications and Rate Alerts are the tools to use at this point, again contact us here for more information via hse@currencies.co.uk or on the normal telephone number asking for myself – Steve Eakins.

If you are trading the EURO or any other currency feel free to get in contact for an independent review of the markets, the trends that could help, data around the corner and strategy options.  Plus with our award winning exchange rates you will be happy to know there should be a saving against your current provider as well. After all – if we could not save you money we would not be in business.

Contact us via the normal methods of the telephone (asking for Steve Eakins), email at hse@currencies.co.uk – or by filling in the enquiry form.

Best regards,

Steve Eakins

View Steve Eakins's profile on LinkedIn

 

Sterling rates hiccup down – UK GDP Figures – Buying Euros – Selling Euros (Steve Eakins)

Sterling prices have been relatively flat this week with small dips down, as traders take profits from what has been one of the most successful months seen for Sterling prices this week. Earlier today the second revision for UK GDP figures were released, and revised up. This again helped the Pound shoot up towards the highest level seen in a month, but prices quickly fell back. Two things can be taken from these current levels from the pound:

  1. SPIKE NOTIFICATIONS can make all the difference in getting the most from the market – Todays movement on a €200,000 purchase could have saved you £650 if timed wisely.
  2. The general view is that Sterling prices are too high

In summary, if you have a currency transfer to make and are selling Pounds, I would be more and more wary, as the trend looks ready to change for the Pound. Next week is another quiet week, especially with the Bank Holiday in the UK on Monday.  The main event is Wednesday afternoon, when the Head of the Bank of England speaks to Parliament.  A BIG EVENT for people to be wary of, the QE or Interest rate decision will probably be re-visited and cause some movement. Speculation movement rather than economic data.

If you are looking at trading the currency market in the near future, be sure to get in contact to see how we can help. We offer a number of services with no obligation that could help you save thousands. These include Rate Alerts, Spike notifications, FWD contracts, Limit orders and Award winning exchange rates.  Simply put if we could not save you money on your currency exchange we would not be in business.

Thanks you and have a good bank holiday weekend,

Steve Eakins

View Steve Eakins's profile on LinkedIn

 

PMI rises for the Eurozone. Very good selling Euro levels. (Ben Amrany)

The Euro recovered some of its losses against the majors today as PMI for the Eurozone was much better than anticipated. We are now aware that the Eurozone has come out of recession and moving forward over the last week of the month we may see the Euro remain at attractive levels for selling the currency.

I feel it is unlikely that the Euro will weaken to much over the next few weeks as the positive data releases plus the president of the ECB stating they will do what it takes to keep the Euro together should keep the currency will in place to remain around the current levels.

With teh German election only now a month or so away if Angela Merkhel remains in government I feel this will strengthen the Euro in a month or so. if you require buying the single curreny with sterling or Dollars you may be wise to look at your conversion well in advance of this potentially happening.

If you do need to buy or sell the Euro then please do feel free to get in contact with me at bma@currencies.co.uk

You will find that we can help you make a saving over the bank of up to 4% and when you are exchanging thousands of pounds the savings really can be very significant. I also offer a very personal service to give you teh information needed to help you decide when to do your currency exchange.

Thank you for reading.

Ben Amrany

bma@currencies.co.uk

UK GDP and EU consumer confidence tomorrow the key data to end the week. Euro exchange rate forecast (Mike Vaughan)

Today is a relatively quiet day as far as the Euro is concerned and following little movement from the latest minutes of the Federal Reserve, in which the FED shed little light on when they expect to begin the tapering of their asset purchasing programme, eyes will now focus on EU consumer confidence figures tomorrow at 15:00 BST. Figures are forecast for a slight improvement which could lend support to the Euro in the afternoon session. However anyone looking at GBP/EUR should watch out for revised UK GDP data at 09:30 BST. With a recent good run of data from the UK this is forecast to be positive and should lend support to the pound, of course if the figures are not as strong as forecast then the pound is likely to de-value tomorrow. Should you be looking at GBP/EUR short term then you may wish to look at your position before 09:30 tomorrow morning.

Following the FED minutes last night EUR/USD has remained fairly flat at 1.335. As mentioned the minutes did little to indicate when the FED will look at tapering but did suggest some members favoured swift action. For me it is something that is likely to occur sooner rather than later and I would expect this to push EUR/USD towards 1.30 in the coming weeks.

Should you wish to discuss an upcoming currency exchange you are looking to arrange and would like to know how the currency service we provide operates then please get in touch. We are simply here to help our clients maximise their exchange and better prices offered by the high street banks and other financial institutions. To find out how we can help you with your currency exchange please contact the office on 01494 787478 or email Mike at mgv@currencies.co.uk

Has the Euro reached a peak against the pound and dollar?

Calling the top of any market is always difficult but I think it unlikely to see the euro making much further on the pound or dollar at present. This is because the challenges ahead for the Euro are soon to come back into focus and cause uncertainty.

If selling euros I think it is worth moving sooner as further improvements in what is a very good rate are unlikely in the short term. The Eurozone has just come out of a recession which is good news but the southern states are still very much suffering. For the best deals on euros against the pound it is well worth ensuring that you are up to speed on the latest developments. Next month we have German elections due and this could really present some uncertainty on the rates and cause Euro weakness.

We have already had some big swings this month on Euro rates but they have been more to do with movements on the USD and GBP which have affected Euro rates as opposed to independent Euro movements. The big news for the rest of the week is the Federal Reserve Minutes due tonight and UK GDP on Friday.

For information on the very best rates of exchange and also what to expect soon on euro rates please make contact on jmw@currencies.co.uk

GBP – EUR Send Money Abroad – BEST RATES

GBP has opened slightly higher this morning against EUR (1.1695) than last nights trading session.

Today has UK Public Sector Net Borrowing, Industrial Trend Survey and Mortgage Approvals. I believe that as the consensus is for a reduction of the level of debt, we may see Sterling spike in to the 1.17s again. GBP is a on the lips of investors at the moment, as continued strong data is reinforcing the value of Sterling against most currencies. Coupled with the forthcoming German Elections and continued uncertainty around certain ECB Member States finances (Portugal / Spain / Ireland), I believe that GBP will test 1.18 again.

Should you have an upcoming transfer requirement, please feel free to drop me a line. I am able to offer award winning exchange rates and various contract options to taylor your exchange favourably.

Andrew Bromley

AJB@currencies.co.uk

01494 787 478

Important News on the GBPEUR Forecast for August and September

We have now had most of the key data releases for August and the data is clearly favouring sterling. I expect this will continue in the short term and there is a good chance rates could even get slightly better for those buying Euros but I would expect them to then come down lower once tough resistance is met above 1.18.

The pound is doing well due to better UK data posting some of the best numbers on the UK economy in months and years. This has given the pound a boost but it will surely not last. This week sees UK Borrowing data and the second revision of UK GDP. I would not be surprised to see the gains for the pound consolidated although we could easily see a small dip which may help Euro sellers, looking for a bit more buying pounds. On the whole I expect sterling to remain well supported, euro sellers should probably move sooner, euros buyers may want to see what happens.

September is potentially a very interesting month as we have the German elections. Currently Merkel is favourite which should help the euro although there is the potential for uncertainty to cause a sell off on the Euro. I think one of the main reasons the Euro has not seen much activity lately is that investors are waiting to see just how this election goes. Don’t forget the Greek election last year, the speculation of a far right party gaining support caused a massive Euro sell off. Problems in Europe for me have merely been put on ice not solved so this latest bit of news could present some volatility.

On the whole though it would appear Merkel winning and forming a coalition (which is the expected outcome) will be Euro positive. This is why I think the rate could move higher to say 1.18, before dropping back towards the 1.15′s.

If you are considering buying or selling a large volume of euros we can help with much better rates than banks as well as information on when to potentially enter the market. For a free, no obligation discussion of your situation please feel free to contact me directly on jmw@currencies.co.uk

I look forward to hearing from you

Will Mark Carney Help Sterling? (Tom Holian) GBPEUR Rates

With Bank of England Governor Mark Carney recently helping to firm up and stabilise the UK economy with his previous MPC meeting we could see Sterling gain against both Euro and US Dollar over the next few trading sessions. Sterling has now broken through 1.17 on mid-market and is showing support just above this level.

Even though it was announced earlier this week that the Eurozone is out of recession this has done little to strengthen the Euro as Sterling continues to gain against the single currency. As GBPEUR exchange rates move higher I personally feel it will be difficult to break the 1.18 level which has not been seen for quite some time.

Yesterday’s UK retail sales were significantly higher than previously forecast. Year on year they were up by 3% the biggest yearly rise seen since January 2011. The recent announcements regarding the UK economy all seem to be fairly positive and with an increase in consumer spending.

UK GDP out earlier this year showed growth at 0.6% and expectations are for a further recovery towards the end of this year. If this happens we could see GBPEUR exchange rates challenge 1.20 in the fourth quarter.

If you’re thinking of selling Euros feel free to contact me by email Tom Holian teh@currencies.co.uk