Cyprus Banks To Open Today

Yesterday and this morning we have seen Sterling Euro exchange rates push up as the issues in Cyprus continue. Today we are expecting to see Cyprus banks open under armed guards and strict controls on how much money can be taken out of the banks at any one time (the figure is a maximum of €300 per day). These controls and the fact banks are under armed guard could mean we will see civil unrest in Cyprus which could spark some big currency movements today. If the banks start to strain under the huge number of people then it may means we could see rates push up towards the high levels we saw towards the start of the year.

If you need to buy Euros make sure that you stay in close contact with your currency broker here at Foreign Currency Direct plc. Our experienced currency brokers will be happy to discuss your currency requirements and the options available to you so you can make an informed decision as to when to trade. These options include a forward contract where, for a small deposit, you can secure your exchange rate at the current levels for a period in the future which can help clients budget and also take some of the risk out of the market. For more information about this and the other contract types call us today on 01494 849752.

UK Economy Could Be Heading To Triple Dip Recession – GBP Exchange Rates

It was confirmed yesterday that the last quarter Gross Domestic Product (GDP) figures for the UK were in line with expectation at -0.3% which means that if the first quarter of this year show a negative figure we are back in a recession for the third time resulting in a triple dip recession. The GDP figures yesterday also showed that the UK economy grew less than previously thought throughout 2012 coming in at growth of just 0.2% rather than the previous 0.3%. This is no real surprise but does indicate that there is very little chance of positivity for the UK and therefore Sterling exchange rates. I would be surprised to see the UK not be a recession and as a result we may see the current highs fall away very quickly if that is confirmed. However, the reason we didn’t see any Sterling weakness yesterday was because of the issues in Cyprus remaining in the headlines and this could be the case in the short term.

If you need to send money abroad and you are looking for great exchange rates make sure you speak with one of our friendly currency brokers who will be happy to keep you informed of all the latest developments. You can call straight through to the trading floor on 01494 849752 or alternatively you can email me on trh@currencies.co.uk.