Demand for the Euro forces the Pound to Euro rate down to its lowest levels since November 2016, will the trend continue? (Joseph Wright)

Despite strengthening against some of the major currencies in recent weeks, the Pound is coming under increasing pressure against the Euro as anyone watching the GBP/EUR rate will have noticed.

Data out of the UK recently hasn’t been as alarming as many pessimists have predicted so the movement we’re seeing between the GBP and EUR pair is mostly being driven by the Euro.

The reason for the Euros good fortune in recent times can be put down to both some of the underlying issues within the Eurozone waning, along with the demand for the Euro on the up due to the US Dollar coming under increasing pressure.

The Euro to US Dollar exchange rate has gained over 12.5% so far this year due to it becoming an in demand currency. It’s benefited from investors becoming concerned with the ongoing investigations into the Trump/Russia ties as well as some of the erratic decision making from US President Donald Trump.

The Pound to Euro rate is now trading towards the bottom end of it’s post-Brexit trend so it will be interesting to see whether the Pound finds support at this level or whether it will break below the psychological 1.10 level.

There is a lot of important data out in the UK tomorrow around lunchtime, and if you’re planning on making a currency exchange and would like to discuss it, do feel free to get in touch with me and arrange a call should you wish to.

If you have a large currency exchange to carry out in the coming days, weeks or months then you are more than welcome to speak with me directly as I will be more than happy to help you both with trying to time a transaction and getting you the top market rate when you do come to buy your currency. A small improvement in a rate of exchange can make a huge difference so for the sake of taking two minutes to email me you may find you save yourself hundreds if not thousands of Pounds. You can email me (Joseph Wright) on jxw@currencies.co.uk and I will endeavour to get back to you as soon as I can.