The Pound has fallen from its recent highs vs the Euro after UK inflation showed a fall to its lowest level seen in over 12 months. Inflation data fell from 2.7% in February to 2.5% in March which has pushed back the expectation of an interest rate hike next month when the Bank of England meets on 10th May.
However, according to some reports there is still a chance of 85% that an interest rate hike may occur and I’m inclined to agree that a rate hike could come next month.
This has seen a movement of over 1% between Sterling and Euro or the difference of €2,300 on a currency transfer of £200,000 highlighting the importance of keeping up to date with market movements.
This morning UK Retail Sales are due to be released and this could be the next catalyst of change for GBPEUR exchange rates and if they come out higher than expected this could possibly push the Pound past 1.15 again later on today providing those looking to send money to Europe with a good opportunity.
Meanwhile in Europe inflation also fell in March from 1.4% to 1.3%. However, as the UK’s figures had a larger disparity the Euro strengthened against the Pound.
To end the week the International Monetary Fund will be meeting in the US to discuss the global economy. One of the main topics for discussion will be bailouts as Italy were one of the recent benefactors and with things not yet sorted politically this could cause some uncertainty as to whether the loans may be repaid.
If you would like more information about buying or selling Euros and would like to save money on exchange rates compared to using your own bank then contact me directly and I look forward to hearing from you.
Having worked in the foreign exchange industry since 2003 I am confident of being able to save you money so feel free to send me an email directly with an outline of your particular requirement.
Tom Holian firstname.lastname@example.org