Further strength for the euro

Late last week the ECB minutes showed concern as ECB members were concerned that the US are devaluing their currency on purpose which means investors are flocking to the euro and making the euro overvalued. Good news for anyone holding onto euros and looking to purchase another currency, but bad news for people purchasing euros.

Today Jens Weidmann an ECB member provided further support for the euro by suggesting that the quantitative easing program could end by the end of the year and if economic growth continues at the current levels. Furthermore he went on to suggest that he is not concerned about the current inflation levels.

Tomorrow is the latest inflation numbers and clients that are involved with euro exchange rates should keep a close eye on the release at 10am. If inflation numbers continue to rise this makes the ECB’s decision to cut the Q.E program much easier. Something to look  out for later in the year.

For clients involved in GBPEUR conversions the UK Prime Minister Theresa May will address the public Friday to give an update in regards to Brexit. This could cause major movement with exchange rates.

In other news this weekend is the Italian referendum and so far market movement has been minimal. Depending on the result this could have an impact on euro exchange rates. For more information on the possible outcomes, feel free to email me on drl@currencies.co.uk.

If you are buying or selling euros this week, month or year and I have not covered the currency pair you are trading, I would recommend emailing me with the currency pair (EURUSD, EURGBP, EURAUD) and the reason for the transfer (company goods, property purchase) and I will response with my forecast and the options available to you drl@currencies.co.uk. Alternatively if you would like to discuss your requirements over the phone call 01494-787478 and ask to be put through to Dayle Littlejohn.

** If you are already using a brokerage and would like to know if you are receiving the best rates possible email me with the exact figures and I will reply with our live price. This will take you a few minutes and in the past I have saved clients thousands! **