This euro report will address the factors that are likely to affect exchange rates today if you are buying abroad or making a currency transfer in the coming weeks, the table below shows the difference in Euros you would have achieved when buying £200,000.00 during trading hours on 26.09.2017.
|Currency Pair||% Change||Difference on £200,000|
The Euro continues to remain on the back foot after the German election result which saw Chancellor Angela Merkel badly bruised in the process with the Alternative for Germany (AfD) party emerging as the third largest party. With no overall majority, negotiations are now taking place to form a coalition government. It is tricky this time round as the centre-left Social Democratic party (SPD) has said it will become the main opposition party and is not interested in forming a coalition. As things stand there is a chance that a coalition will be formed between Angela Merkel’s Christian Democratic Union (CDU), the Free Democratic Party (FDP) and the Greens. This coalition has be dubbed the Jamaica coalition with the party colours comprising the colours of the Jamaican flag.
The issue for the Euro is that this is likely to take weeks and probably months before anything is agreed which could prove negative for Euro exchange rates. The FDP for example are opposed to more economic integration in the Eurozone which could hold things up. The party also pushes a harder line on immigration. Those clients looking to sell Euros for pounds would be wise to consider taking advantage of what are still extremely attractive levels and avoid waiting a lengthy period where rates could continue to deteriorate further.
EU Data is light today so focus moves to business and consumer confidence data tomorrow as well as a speech from ECB member Sabine Lautenschlager.
Even more politics are at play for the Euro though after French President Emmanuel Macron spoke yesterday as he tried to push for an overhaul in the EU and make it more simplified. He faces an uphill battle though considering the bloody nose that Angela Merkel received and he may struggle to get these reforms through. In a twist, he also hinted that Britain could return to a reformed, simplified EU.
Thank you for reading my Euro currency report, if you have any questions about Euro exchange rates I would be more than happy to discuss them – you can contact me with any queries by calling 01494 725 353 or emailing me here.
James and his colleagues are always courteous and helpful. I have also never been able to find rates of exchange that are more competitive. I am particularly impressed with the service, as I am not in the habit of transferring massive amounts!
As always a really quick and easy transaction. James is very knowledgeable and helpful. Great rates.
Always helpful and they always give rates at the very top of the range. Quick transfers to our french bank account – highly recommended. Well done James Lovick 😉