GPEUR exchange rates have had another good week with the mid-market touching 1.39 at times creating the best exchange rates seen this month.
The Greek crisis continues and they have this morning had their credit rating downgraded which is likely to cause some further Euro weakness.
Yesterday’s official figures for Greece showed that their deficit last year was higher than government forecasts so even though they made their most recent payment things could still get worse.
The ECB press conference held yesterday saw a movement of 1 cent from the high to low but it has now settled towards the higher range as Mario Draghi confirmed that ‘inflation is expected to remain very low or still negative in the months ahead.’
The UK election is now 3 weeks from today and I am expecting to see Sterling falling against the Euro in the weeks ahead as the uncertainty builds up as to who will take control of the country.
According to opinion polls no party has a majority so we could be in for another hung parliament.
The last time this happened the market dropped very quickly so if you need to buy Euros over the next few weeks or months you may wish to consider a forward contract. This allows you to fix your exchange rate based on the current rates.
If you have a currency transfer to make and want to save money on exchange rates compared to using your bank then contact me directly for a free quote. Tom Holian email@example.com