It was another volatile week for GBPEUR exchange rates with events from the UK heavily influencing if GBPEUR rose or fell.
The pound started the charge against the euro throughout Wednesday afternoon off the back of comments made by former ambassador to the EU, Sir Ivan Rogers. He exclaimed that Senior European leaders believe the UK are bluffing and eventually Theresa May will have to back track. In other words the UK will remain part of the single market which improved investor confidence.
That evening MPs within the house of commons voted that Theresa May can now begin Brexit negotiations. This does not mean she has the power to invoke article50 however it’s important to understand negotiations have begun and it’s only a matter of time until we discover the future of the UK.
With sterling finishing Wednesday 0.85% up against the euro, this was the perfect time for euros to buy as Super Thursday for the UK was far from Super. The Bank of England released their latest interest rate decision, quarterly inflation report, minutes from the latest interest rate decision, update to the asset purchase program and this is then followed by a speech from Mark Carney (Governor of the Bank of England).
Many economists were predicting Mark Carney to give the pound a boost as he would hint to an interst rate hike in a bid to combat rising inflation however this never materialised.
I am know doubt politics will continue to dictate GBPEUR exchange rates in the upcoming weeks and depending on if the UK leaves or remains part of the single market, this will dictate if GBPEUR rates rise of fall. It looks like the UK will exit the single market in March therefore I expect GBPEUR to fall back to levels we become accustom to in October 2016 (1.10). If you are purchasing a foreign currency in the future and wish to secure your exchange rates now and pay later, a contract option we have able is a forward contract. Most High Street banks will not offer you this option.
If you are looking to buy or sell Euros this year, the currency company I work for enables me to achieve better exchange rates than the high street banks and other brokerages. I specialise in property purchases and sales. Therefore if you are buying or selling a property this year and want to save money by achieving the best possible exchange rates but also want help in timing your transfer, get in touch by emailing me on email@example.com.
The more information you provide me, the more information I can provide you. Below is a list of what I require: your name, currency pair, brief description of requirement, amount, budget, timescales, telephone number and convenient time to call.
Have a great end to the weekend and I look forward to speaking with you Monday morning.