Since the UK public voted out of the EU, euro sellers have been provided with a fantastic opportunity to sell euros and buy pounds and I believe now is the time to make the transfer whilst rates are still fantastic.
Late last week rumours emerged that the Spanish and Dutch finance ministers had agreed that they seek the softest Brexit deal as possible which is fantastic news for the UK economy and sterling exchange rates.
This week all eyes turn to inflation numbers released in the UK and Europe. UK inflation numbers are set to be released at 9.30am Tuesday morning. Forecasts are suggesting that inflation will rise to 3.2% which will ask questions of the Bank of England once more.
Towards the end of last year the Bank of England hiked interest rates from 0.25% to 0.5% which helped the pounds value, however I expect the reaction from the Bank of England to be limited as medium term forecasts are suggesting inflation will fall back towards 2.5%.
Eurozone inflation is released at 10am Wednesday and the forecasts are suggesting for no change. Last week the latest minutes from the ECB were fairly hawkish, giving a hint that monetary policy could be changed in a positive way for the Euro. However I expect this release to be a non event.
With Brexit negotiations heating up and it’s clear to see that the UK and EU want to secure some kind of deal, I expect the rates we are seeing at present could diminish throughout the year therefore I think for any euro seller, now is the time.
The currency company I work enables me to achieve better rates than the high street banks whilst providing clients with economic data which helps them to time their currency transfer. If you are purchasing a property abroad / have sold a property abroad and would like to repatriate your currency, a business owner and needs to buy and sell GBPEUR for stock or just have a one off currency requirement feel free to email me on drl@currencies.co.uk.
