The pound to Euro rate is being majorly influenced by the EU Summit and the prospect of a deal and agreement being reached between the UK and EU. If you have a transfer to make in the coming weeks then understanding the market and your options is crucial to maximising the deal so that any surprises can be dealt with effectively.
The pound to Euro exchange rate could easily rally to 1.15 if the market and consensus are that the agreement is going to be beneficial for the UK. The belief is that the deal will be reached but with uncertainty still remaining over the Irish question, there is still a possibility the deal will fail at the last hurdle.
If the deal falls through and the UK cannot progress to ‘phase 2’ of the Brexit negotiations then we could easily see the pound lower. The pound to Euro rates could easily fall much lower which would see us nearer to the 1.10 mark.
If 2018 brings further bad news for the likelihood of any deal then the pound could fall to lower than 1.10 although I would expect we will be closer to 1.14 in the next week or two.
If you have a transfer to make buying or selling the pound against the Euro then getting everything planned and arranged in advance is a smart move as next week could see some real volatility that might see rates at a better level in the future.
Other news in December is the Catalonian election on the 21st December, this could easily see the pound much stronger against the Euro
For more information at no cost or obligation please speak to me Jonny Watson by emailing email@example.com.