Tag Archives: currency pair

Euro Exchange Rates Still Weak- Buy Euros Over 1.20 GBP And Close To 1.31 for USD

April 12, 2012   Economic Information, euro weakness, The Week Ahead

The Euro remains under pressure as debt auctions across European countries continue to show investors are demanding high yields to take up government debt.  Spain is due to approve new laws to impose greater control over regional government spending, but it seems a very familiar story of austerity and deficit targets which in all likelihood will be missed.  GBP EUR exchange rates look to have consolidated well over the 1.20 mark so certain trade volumes are being exchanged over this level and even up to 1.21.  German inflation data tomorrow may buck this negative trend for the Euro but unless next week’s raft of UK data is negative (inflation, unemployment, and retail sales) it is difficult to see anyone selling Euros to buy sterling getting below 1.20 imminently.

In my view current levels for the Euro make a great buying opportunity given the levels over the last year, and even USD EUR rates are becoming more attractive again although I don’t expect us to reach the 1.26 levels we were seeing in January.  Anything below 1.30 represents a good price from USD in my view so lets see what US Trade Balance figures do later today.

If you need to buy or sell Euros (or any other currency pair for that matter) for physical transfer then by all means get in touch and see what we can save you.  The company we work for, Foreign Currency Direct Plc, is physically based and registered in the UK and regulated by the FSA, and as such we can provide a range of services to our clients to help them achieve the best exchange rates.  If you would like a “no strings” discussion about your requirements, then feel free to e-mail Colm at cmg@currencies.co.uk quoting ERF in the subject matter and I would be happy to explain what we can do.

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Buying Euro at 1.20

April 4, 2012   Economic Information, euro weakness, The Week Ahead

Stronger than expected UK PMI data of late has helped force the mid rate against the pound over 1.20 again so some clients, depending on volume have been able to achieve this rate.  The levels have been pretty short lived recently and with the ECB rate decision today and UK services PMI out in less than an hour it may be prudent to move quickly.  If you are looking to buy Euros at 1.20 then please e-mail Colm at cmg@currencies.co.uk quoting ERF in the subject matter with a brief overview of what you want to trade.

Whilst Australia didn’t actually cut interest rates on Tuesday they did give their strongest hint yet that this is on the cards and I guess has therefore been priced in.  Also Chinese data up to the other day has been on the weaker side but the PMI yesterday was way above expectations which boosted the Aussie.  With unemployment in Spain still rising I think current levels to sell Euro and buy Aussie may not be great, but are still unlikely to improve significantly without a hefty cut Down Under next month.  We can trade any major currency pair so do feel free to contact us to find out more and if we can help get you a better rate on your transfer.

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Euro Currency Exchange Rate Forecast

June 15, 2010   Euro Strength

    The Euro has had a very turbulent time of late against the US dollar and GBP Sterling. Last week the Euro hit a 4 year low against the US dollar and there was even talk of the currency pair hitting parity. Despite this the Euro has rebounded this week both against both the US dollar and Sterling. This is because the major fears of debt default are cooling.

Greek government bonds have been downgraded four notches to “junk” status by Moody’s credit rating agency. Normally such an event would move the market. But such sentiments have long been factored into the markets and as such had very little effect. There is a growing sentiment that the Euro is trading at an acceptable level. There have been lots of financial mechanisms applied to reduce the debt risk presented, namely by Greece to both the Eurozone and the Global Economy. There was also some positive manufacturing data from the Eurozone hinting at a slightly stronger recovery.

The Eurozone represents the world’s second largest economy. I don’t think the economic strength this represents will be allowed to be jeopardised by Greece. An economy that represents only 2.6% of Eurozone GDP.  Yes, there are other countries involved that created the debt, contagion and fear – Portugal, Spain, Italy to name three. But like Greece, these countries have all implemented tough austerity measures and let’s not forget that both the US and the UK have and are having to implement their own tough measures to fight the severe budget deficit problems they face.

If you are buying or selling a property abroad, have business transactions to carry out or need to get money to or from overseas for any other reason and want the best exchange rates, just fill in the contact form above and one of our experienced traders that write on this blog will be in touch shortly.

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