In this Euro forecast we’ll examine how, earlier this week, the Pound to Euro exchange rate hit a new 23-month low. This was brought on by fears regarding the increasing chances of a no-deal Brexit in just a few months.
Since the appointment of Boris Johnson as UK Prime Minister, the no-deal rhetoric has rattled the markets. So Sterling continues to fall across the board of major currency pairs. The Euro has benefited from this weakness and the pair has hit the lowest level in almost 2 years.
Despite a slight boost for GBP exchange rates yesterday, owing to the light economic calendar, those gains have since been wiped out. This is because, late yesterday afternoon, Irish Finance Minister Paschal Donohoe said that the risk of a no-deal Brexit is increasing.
Is the Euro going to go up?
The UK is scheduled to leave the EU on the 31st of October. So if no progress is made between the UK and the EU negotiating teams, and the EU continues to refuse to amend the existing EU deal, there could be further falls for the GBP/EUR rate. Do feel free to register your interest, if you wish to be kept updated regarding any price changes.
Economic data due out this week is mostly light until Friday, when UK GDP will be released. This will cover the UK’s economic output during the second quarter of this year.
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. 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 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 [email protected]. I will endeavour to get back to you as soon as I can.