This Euro update examines factors that could affect exchange rates in the short term. In the table below you’ll see high to low GBP/EUR exchange rate movement and the difference when exchanging £200,000 Pounds to Euros in the last 30 days.
|Currency Pair||% Change||Difference on £200,000|
Over the last couple of years the European Central Bank have been running a €60bn quantitative easing program in order to stimulate the economy. Below is a basic 6 step guide to quantitative easing:
For the Eurozone inflation has been steadily rising over the last 12 months and the President of the European Central Bank has announced a sustained period of growth across the bloc. In addition the President last month announced that the bulk of the decisions surrounding Q.E would be made at the interest rate decision on the 26th October.
For clients that are exposed to Euro transfers the ECB decision towards the end of the month has the potential to shift exchange rates by a substantial amount. I would be shocked if the President announced that the Q.E program would be cut this month, however I expect he could hint towards tapering the program early next year. If this is the case less Euros will be entering the banking world which in turn should strengthen the Euro. For clients that have just read the Sterling section of this report, another reason why buying Euros now seems sensible.
Overnight it has been reported that Catalonia will declare its independence from Spain in a matter of days according to President Carles Puigdemont. However the kind of Spain Felipe VI has exclaimed that voters have put themselves ‘outside the law’. All major news stations in recent days have shown the Spanish police violence towards voters and I don’t expect this trend to stop anytime soon. Regardless of the outcome this story could continue to put pressure on the Euro short term.
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 at email@example.com.
From the moment I spoke with Dayle he was very friendly and explained how Foreign Currencies Direct operated. He also explained about the fluctuating Sterling/Euro market. Would definitely use the company again & recommend them to family & friends.
I’ve dealt with Dayle Littlejohn for over a year now and can honestly say I’m completely satisfied. He has always been totally efficient and has never failed to deliver consistently excellent service. I shall continue to use him and the company for currency conversion for this simple reason. Well done.
Brilliant company, well organised, helpful and Dayle who I deal with is extremely professional. I highly recommend this company who I have been dealing with for the past 2/3 years.