Euro Strength after Strong Manufacturing PMI Data (James Lovick)

 

For anyone selling Euros there is once again an excellent opportunity to convert into pounds. There has been considerable weakness in the price of the pound over these last two weeks as result of underlying Brexit concerns. It has been three months to the day since the British referendum on EU membership and fundamentally very little has changed. Although much of the economic data has been largely upbeat over the last three months since the vote, the Brexit worries still aren’t disappearing and this is keeping the currency markets on tenterhooks.

EU manufacturing numbers released this morning as per the Purchasing Managers Index came in stronger than expected which immediately saw the Euro strengthen. This is a welcome boost for Euro exchange rates although the rally may not have too much further to go.

Today is light for the UK today although next week sees some key economic releases. GDP numbers however are the key ones to watch as this is “hard data” and it’s the one the markets are most interested. The figures effectively tell us how well the British economy has been performing in terms of economic growth. Whilst a slowdown was predicted it doesn’t appear to have materialised. In fact the strong manufacturing data of late should even be a boost for UK GDP. Anything steady or indeed positive should see the pound turn around its recent decline and a good rally may follow.

If you want to be kept up to date on the markets and you would also like to ensure that you are getting the very top levels of exchange for an imminent currency transfer or even a longer term one then I can help you with this.

Not only do we give clients up to date market information but we all work for one of the largest and longest serving currency brokerages in the U.K, so even if you have dealt with your current broker or bank for a long time I would be surprised if I could not show you a saving over what they are offering you – You can email me James Lovick directly on [email protected]  and I will be more than happy to contact you personally to discuss the various options we have available to you.