Since the Bank of England chose to keep interest rates on hold last week the Pound has recovered during the last few days against the Euro as reports are coming out that the UK will remain in the Customs Union for the next three years or at least until an agreement can be put in place with Ireland.
Although a final decision has yet to be reached the good news is that it provides a period of certainty and this has given the Pound a small boost vs the single currency.
However, the final trade deal is still far from concluded and whilst this remains to be finalised this is likely to weigh heavily on Sterling Euro exchange rates so any increases in the value of Sterling may be both short lived and limited.
As we move into next week we could see a lot of movement for GBPEUR exchange rates as there is a lot of economic data due to be published.
On Wednesday UK inflation will be released and this has been a very hot topic recently and another sign of an increase could provide the Bank of England with some support for a future rate hike so this could give the Pound a lift if the data is higher than expected.
Then on Thursday UK Retail Sales which saw a huge fall recently caused by the ‘beast of the east’ are due to come out.
I personally think we could see a big improvement and I would expect the Pound to possibly break towards 1.15 if my prediction is correct so if you’re looking to buy Euros in the short term then late next week could provide you with a good opportunity.
If you have a currency transfer to make and would like to save money compared to using your bank then contact me directly for a free quote and a brief outline of your particular requirement.
Enjoy your weekend and I look forward to hearing from you
Tom Holian email@example.com