The euro ends the week weaker, following an announcement by the European Central Bank (ECB) that they will seek to keep interest rates on hold until 2020 and make a series of low interest loans to stimulate growth and shore up confidence. A key quote from President of the ECB, Mario Draghi, was that the economy was in a ‘period of continued weakness’, in a sign of what we might expect for the future.
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The ECB cut their growth forecast for 2019 from 1.7% to 1.1% indicating their own pessimism over what lies ahead for the rest of the year. Key events to be aware of for euro buyers today are the latest US labour market data statistics at 13.30. EURUSD can be volatile following such news which can influence the relative strength of the euro against other currencies. If you have any euro transfers to consider, speak to our expert team earlier in the day for the latest news.
The pound to euro interbank exchange rate is up at some of the best levels to buy euros in nearly 2 years, having risen higher on Brexit optimism and a weaker euro, as described above. The market is now tracking further developments eagerly awaiting the next steps on Brexit, to find out if the recent optimism is misplaced. The pound still remains somewhat at the mercy of Brexit uncertainty, which could see it losing value ahead if no-deal becomes more likely again.
Next week could be absolutely crucial for the pairing with the latest UK Parliamentary vote on the 12th March, and a series of votes just after.
If you have an important pound to euro, or euro to pound transfer coming up in the days, weeks and months ahead, we are approaching a critical time on Brexit. In the words of Abraham Lincoln, ‘the best way to predict the future is to create it’. Clients therefore wishing to better understand what lies ahead with their pound to euro transfer, might benefit from a discussion with their account manager today, ahead of what could be a defining period on Brexit and GBPEUR exchange rates ahead.
Jonathan Watson as ever, ensures a smooth, reliable and trustworthy transaction for the second time of service! Delightful to deal with – efficiency personified. Thank you Jonathan. Would recommend highly – 5Star.
Excellent initial guidance, and during the transaction regular communication and updates. Dealing with Jonathan Watson was a pleasure. Very reassuring.
Jonathan Watson provided very helpful advice throughout the process, as well as immediate responses to our inquiries. He and his team were patient and thoroughly professional, which helped us through some stressful moments following the sale of our property in France.