Tag Archives: the best deal on euros against the pound
With no clear improvement in the economic conditions of the Eurozone despite a raft of measures designed to stave off deflation, we could now be looking at some further Euro weakness this week as investors lose faith in the current approach by the European Central Bank. Mario Draghi has kept significant credibility in his work as President of the ECB but investors will need to start seeing some serious improvements before they really feel enough is being done to stem major problems in the future.
Let us not write off the ECB and the Euro too swiftly however. The Euro is second only to the US dollar in terms of its international status as a safe haven, many companies and countries outside the Eurozone issue and purchase debt in Euros and businesses globally will use the Euro as an anchor to add another platform of stability alongside the ‘strength’ of the US Dollar.
Fears some years ago of the Euro collapsing seem like a distant memory and such a scenario is now highly unlikely. The prospect of major Euro weakness in the future if the current problems are not resolved is however something to be concerned about. Prices could start falling and this would have a major effect on the lacklustre growth seen across the Eurozone. Extensive legislation to promote green energy and meet targets has left many Eurozone business uncompetitive against their global markets and this is preventing booms in Industry and commerce.
This Thursday is the latest meeting between the ECB and he will give a Press Conference afterwards to provide insight and commentary into just how he and the council views the recent falls in Inflation. Friday at 10.00 am we have the latest Eurozone GDP (Gross Domestic Product) data which will be very useful in determining whether those comments or actions were justified…
The Euro has lost over 10 cents against sterling and close to 9 cents against the USD this year. If you need to make a transfer soon being aware of all of your options and the forecast could save you money. For more information and practical solutions from currency specialists please email me Jonny on firstname.lastname@example.org
The Euro has taken a hit after last Friday the President of the European Central Bank Mario Draghi hinted at the annual Jackson Hole Economic Symposium in Wyoming that broad-based asset purchases (QE) have become more likely and necessary for the euro zone.
This sent the Euro down to the lowest level against the USD in 11 months and also caused it to weaken by a cent against the pound as the Euro block is in a completely different place economically wise to that of the UK and the States.
While in the UK and US the central bank is considering hiking interest rates, in Europe they are monetary easing, which is what the UK and US have already halted. The European economy is a good couple of years behind the UK & US so I expect we will continue to see a weak Euro for the foreseeable future until interest rates seem like they could be hiked. A long road ahead is in store for Europe!!
Tomorrow Key unemployment data out of Germany could heap further pressure on the single currency so if you are looking at selling the Euro you may wish to act sooner to minimize any further losses.
If you enjoy reading our site and would like more information on the currency exchange service we offer please do feel free to contact myself Ben Amrany at email@example.com I will explain the service we can provide as well as all the options available to you.
The Euro appears to be on course for future losses which may manifest in the next month or so owing to continued pressure on the Eurozone economy to show some improvements in their economic outlook. Some months ago we were in a similair position and Marios Draghi announced a range of measures to ease liquidity in the Eurozone – that is making money more cheaply available to try and stimulate the economy. Unemployment is still a big problem in the Eurozone and boosting growth will help to combat this problem.
The cutting of their base interest rate has so far failed to ignite the economy and stave off the deflationary pressures in the Eurozone. Last month’s data has so far all been rather worrying and I am of the opinion anyone holding out expecting larger moves back in their favour in the future should beware of the risk involved. If you look at the historic charts the GBPEUR rate used to be much higher in the past flirting with levels of 1.50 – 1.60 for a period of time. Therefore the more favourable recent moves which we have seen could be viewed as an anomaly never to return as the economic recovery in the UK gathers pace.
All in all a strong pound and rising Eurozone concerns seems to indicate to me a deterioration in the current levels for those selling euros for GBP. If you need to make an exchange now or in the future please contact me Jonathan on firstname.lastname@example.org
The Euro has weakened over the course of the day against most of the majors on the back of the poor economic sentiment survey which came out of Germany this morning. It has really hindered the single currency and sent GBP/EUR back up towards 1.2584 from the low of the day of 1.2531. Investor morale in Germany is now at its lowest in over one and a half years which is a a further sign that the euro zone recovery is faltering and may reap further pressure on the Euro.
If you are looking at buying or selling the single currency against the pound then tomorrow there is a host of economic releases which will more than likely have an impact on the rates going forward until the end of the week.
At 7 am it all kicks off with all the eagerly awaited inflation data out from Germany which I feel will cause the Euro to weaken as inflation is continuing to fall and a rise above expectation will be needed for anyone looking at selling Euros. The same data is out for France and Spain.
Then in the UK we have the unemployment data followed by the Quarterly inflation report and a speech by the Governor of the Bank of England. The Unemployment data will be key for market movement as any drop in this figure will surely mean further calls for interest rates to rise sooner leading to more sterling strengthen.
I still feel that there is more scope for the Euro to continue to weaken than recover its losses. If you are selling the single currency the sooner you trade I believe the more you will achieve and you will probably look back in a years time and think thank god I traded when I did.
If you do not have full funds available please remember you can always forward buy your currency by lodging a small deposit now and settling the balance at an agreed date in the future. If you would like more information on this contract or anything else to do with our service then please feel free to email myself Ben Amrany at email@example.com
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The single currency (EUR) has had a day of slight gains against the pound and the US Dollar today as negative data from the UK & US has weighed on the pound and the USD.
Tomorrow should be a very interesting day for the Euro with a much anticipated interest rate decision to be announced at lunch time from Europe.
The European Central Bank is expected to leave monetary policy unchanged tomorrow, but President of the European Central Bank Mario Draghi will likely reiterate to markets that policy makers remain ready to undertake more monetary easing if necessary.
A couple of months ago the ECB cut the base rate of interest and announced unprecedented monetary stimulus which we have not seen out of the Euro block. This was due to a heavy fall in the rate of their inflation and the hope is to get people spending to raise the rate of inflation. All this contributed to the Euro falling to the lowest level against the pound for around two years and recently an 8 month low against the USD.
Eurozone inflation fell in July to 0.4% YoY, the lowest level since October 2009, and is well below the ECB’s target rate of 2%. The ECB have suggested in the past that a rate below 1% poses a risk of deflation.
Even though this has occurred we believe that ECB policy-makers are expected to stay on hold as they continue to monitor the impact of monetary accommodation measures announced in June.
The range bound recently has been as high against GBP as 1.2699 and a low of 1.2520 which is a fair spread in the space of a week or so. This is fairly volatile and I would expect there to be more chance of the Euro to continue to weaken than gain in the medium to long term. This should be a concern if you are selling Euros and I would be exchanging your funds sooner rather than later to minimsie any future losses. If you do not have full funds available then you can sell your Euros on a forward contract.
If you are looking at making an exchange then I would recommend speaking with myself Ben Amrany and I can explain all the options available to you in trying to time your exchange and help you achieve a better rate of exchange than the banks.
If you would like to benefit from our award winning rates then email myself at firstname.lastname@example.org and I will contact you to explain the mechanics of buying your currency through us and the options available to you.
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The Euro has today recovered some of its losses against the pound with GBP/EUR back down at 1.2560. The trend is still Euro positive so if you have Euros to sell our recommendations are to look at your exchange in the near future as the rates could continue to go against you if buying sterling.
Tomorrow could be a volatile day for GBP/EUR as their is a host of data out from the UK most importantly the interest rate decision out at midday. There has been a lot of talk about when interest rates will rise in the UK. This being the main contributing factor to the pound rising so significantly of late. We are not expecting a change in rates tomorrow but if the unexpected happens the pound could rise. We also have all of the trade balance figures for the UK which could be a bigger market mover than the interest rate. A healthy number will surely be GBP positive.
In Europe there is the ECB monthly report. They will discuss the current economic situation in Europe and as things have not been going to well a dip in the value of the Euro is expected. his will be good for Germany as the lower the Euro goes the better it is for their exports.
If you are buying Euros I would be exchanging your funds on spikes in the market to keep capitalising on the favourable rates. If you require buying or selling the Euro then you may find out more about our service by emailing myself Ben Amrany at email@example.com
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To readers who have euros to sell and wish to buy sterling I would not hang around too long. The recent dips in your favour today and yesterday should definitely in my opinion be viewed as a good time to sell. The longer term forecast clearly appears to favour the pound over most currencies and whilst exchange rates are not as good as they were some months and years ago, there is a very strong likelihood it will get worse.
If you need to sell euros for the pound soon or in the future it is probably a good idea to consider a forward fix on the rates to help further reduce the uncertainty. The longer term forecast for the pound is that the UK will raise interest rates well ahead of the rest of the US and the ECB which should result in much higher rates in the future. The big questions of course is when exactly this will happen, some have forecast the move this year for the UK, others early 2015.
For more information on the exact price we could offer to you why not make an enquiry direct with me Jonathan on firstname.lastname@example.org