With the Pound falling into the mid-teens, it is looking more likely that rates could slide further. Current rates are a welcome opportunity for Sterling buyers with Euros, who have not seen these rates for 3 years.

Tough times ahead for Euro buyers with sterling

Sterling continues to slide causing further headaches for Euro buyers with pounds. The Euro has come under some pressure following the Brexit decision but it is the pound that has come under the most pressure hence the decline of 13% in the 2 weeks since the Referendum. With lots of uncertainty hanging over the UK economy and the political situation in the UK it does appear further declines are likely and any clients hopeful of a quick reversal of fortunes could be in for a nasty shock as it appears we have still not hit the bottom level that GBPEUR could fall to. With a new low hit of 1.1550 on GBPEUR yesterday and I would personally not be surprised to see rates slip lower to 1.10 if the UK cut interest rates and embark on further Quantitative Easing.

Best Time to Sell Euros for Pounds in three Years!

We are currently witnessing the rates to sell Euros for Pounds since the summer of 2013 which is a great opportunity for anyone selling an overseas property is businesses being paid in Euros. As explained above it might yet fall further although of course there is always the possibility of the Euro coming under pressure again. Whilst the Eurozone has so far come out relatively unscathed longer term there could be issues from the Brexit that weigh on the Eurozone. Any recession and stressed trading relationships with the UK will have an impact on the Eurozone.

Mario Draghi has already this year used negative interest rates and Quantitative Easing (injecting money into the economy) to boost Eurozone economic growth. This might yet become policy once again further down the line as a result of the fallout from Brexit, Euro sellers should not be too greedy in my opinion.

Are you worried that you may lose out further from the fallout of Brexit? Speak to one of our brokers today who will be happy to discuss your options. Call 01494 725 353 or email me here for more information.

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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.