The EUR has found plenty of support around 1.15 against Sterling but has yet to make any significant move towards 1.10.
The single currency has drifted away from its post Brexit highs in recent weeks, with the Pound gaining a foothold following a strong run of UK economic data and progress in Brexit talks. However, despite an upturn for the Pound following the UK and EU agreeing on terms for a transitional period ahead of the UK’s inevitable exit from the single bloc, I don’t feel the EUR will see a major downturn from its current levels in the short-term.
In my opinion this agreement has simply kept the ‘wolf from the door’ for another couple of years and will handicap any major advancement for Sterling, which will struggle to make any sustainable improvement towards 1.20 against the EUR over the coming months.
The Eurozone economy has surpassed almost every expectation over the past 18 months, which has helped to facilitate the Euro rise to its current levels. With European Central Bank (ECB) likely to tie up their current monetary policy programme before the end of this year, this is likely to further boost investor confidence in the region.
Looking ahead and tomorrow the ECB will release their latest policy meeting accounts, which will give the markets further insight into the central banks current thinking, so any nod towards a possible interest rate hike over the coming months could help boost investor confidence in the single currency.
If you do have an upcoming EUR currency transfer to make, you can contact me directly on 01494 787 478. We can help guide you through this turbulent market and as a company we have over eighteen years’ experience, in helping our clients achieve the very best exchange rates on any given market.
Our award winning rates can be accessed very easily over the phone and I can keep you posted with key market developments ahead of any prospective exchange you need to make.
Feel free to email me directly on firstname.lastname@example.org to find out all the options available to you ahead of your currency transfer.