Foreign Currency Direct Foreign Currency Direct
Open an account

Weaker than expected data released yesterday did little to inspire Eurozone investors. The IHS Markit’s Composite Purchasing Manager’s Index, which is considered a good overall picture of health for the region, only nudged up 0.1 to 51.6 this month, from 51.5 the previous month but below analysts’ forecasts.

Currency Pair% Change (Week)Difference on £200,000
GBPEUR1.11%€2,520

Investment bank Morgan Stanley added to the worries of investors by stating the outlook for future growth within the region also carries downside risks. The main risk to the Eurozone economy remains the manufacturing sector across the bloc, which has been in general decline in recent months and isn’t showing any signs of picking up. To top it all off, German business morale deteriorated more than expected according to the Business IFO report yesterday, due to the loss in confidence of the German service sector in what was a gloomy day for the bloc.

Draghi speech today

European Central Bank minutes

If yesterday’s data wasn’t enough to worry investors, then the European Central Bank’s minutes from the April 10th meeting put any doubt to rest, confirming that the Eurozone recovery isn’t quite going to plan. Whilst they are not prepared to act yet, the ECB have acknowledged that it requires more analysis of data in the months to come, but are more than likely going to give banks extremely generous terms on cheap loans. This is to ensure that credit continues to flow within the economy.

With little data out today, the GBP/EUR rate will remain at the mercy of political updates from the UK with regards to Brexit and developments regarding the US China trade war, both of which have been cited as reasons to why the bloc’s growth has been so subdued of late.

News

General Election Special: Johnson and Corbyn TV Debate

General Election Special: Johnson and Corbyn TV Debate

Movement for sterling exchange rates muted as initial responses suggest that the party leaders were neck and neck in the polls for best performance.

By Jonathan Watson
Euro weakens in spite of improving Eurozone data

Euro weakens in spite of improving Eurozone data

Sterling moves higher against the euro despite Germany's better than expected Q3 GDP statistics.

By Daniel Wright
Best time in 6-months to buy Euros with pounds

Best time in 6-months to buy Euros with pounds

Sterling reaches a 6-month high against the Euro, at 1.1682 on Tuesday as the Conservatives lead in the polls and German GDP figures are released

By Jonathan Watson
Read more articles

 

Download our monthly currency forecast

Download here

 

P. Marsh

UK

All the staff I spoke with were helpful ,courteous and knowledgeable. The service is efficient and FCD make the exchange process hassle free.

Read our testimonials

L. Mallet

UK

Personal, attentive. What more can I say? First Rate.

Read our testimonials

M. Clow

Italy

Efficient, friendly, personable – I have used this service several times and will not hesitate to call on them the next time a foreign currency transfer is required.

Read our testimonials

J. Heron

New Zealand

Quick, competent and friendly: a reassuring excellence of service, which I heartily recommend to every potential client.

Read our testimonials
Exchange rates on this page are interbank rates and indicate where the market is trading to show the performance of a currency pair. They are not indicative of the rates which we offer. The information on this web site is provided free of charge for information purposes only. It does not constitute advice to any person on any matter. Foreign Currency Direct plc. ("FCD") makes every reasonable effort to ensure that this information is accurate and complete but assumes no responsibility for and gives no warranty with regard to the same.