As we head towards the end of the calendar month we have a reasonably quiet week for European economic data.
In my opinion all eyes will be firmly focused on what comes from the European Central Bank interest rate decision and press conference due out on Thursday at 12:45pm and 13:30pm respectively.
No changes to interest rates are expected but what will be key is head of the European Central Bank Mario Draghi’s comments in the press conference that follows the rate decision, along with any changes to the ECB QE program.
It had been widely thought that a tapering of the ECB QE (Quantitative Easing) program would be happening soon, and should they act on or put a nod towards this happening then we may see significant Euro strength.
Recent data from Europe suggests to me that this will not happen just yet, growth figures have dropped off a little around the Eurozone and economic data as a whole has not totally impressed.
In general investors and speculators tend to hang off of Mario Draghi’s every word and any indication to future economic policy change can lead to sharp movements for Euro exchange rates almost immediately.
Next week we also have both growth and inflation figures for the Eurozone which will also be important for where Euro exchange rates head next.
Personally I still feel that the Euro is slightly overvalued but it has shown over the pass ten years that it is an extremely resilient character, so you can never be totally convinced that the Euro is going to drop off.
If you have the need to carry out a Euro exchange in the coming weeks then it is well worth getting in contact with us here at Euro Rate Forecast. The writers of this site all work for one of the largest currency brokerages in Europe and we can help you not only maximise your exchange rate but also with the timing of your transfer too.
Should you wish to speak with me (Daniel Wright) the creator of this site then feel free to email me directly on firstname.lastname@example.org and I will get in touch to discuss the options available to you.