GBPEURO to climb past 1.20?

For those of you holding out on a Euro purchase before Christmas may be presented with a window of opportunity tomorrow as the US Federal Interest rate decision is released this evening. Many analysts are expecting a hike of 0.25% bringing the current rate to 0.75%.

Should this be achieved we are likely to see a strengthening Dollar and a weakening Euro. This is due to the EURUSD being the most traded currency pair in the world and usually when one strengthens the other weakens. This may see the GBPEURO push back past 1.20 market rate level on tomorrow mornings trading.

With the UK continuing to hold ground against the Euro due to a softer stance on Brexit, this presents a great opportunity to purchase Euros before Christmas in my opinion. I feel this will be short lived though as we head into the new year when official negotiations begin to gain momentum and media attention. Continued uncertainty is likely to adversely affect the Pound going forward.

On the other hand if you are holding onto US Dollars currently the next few days are likely to present a great opportunity to sell back and buy Sterling as the Dollar strengthens its position.

In other currency news the Turkish Lira is continuing to be great value against the Pound. This is due to Turkey’s struggling economy in the wake of political instability that has plagued the country over the last year. For those looking for cheap winter sun this year and into the first quarter of next year the time is now!

In Indian economic news the deadline for exchanging up withdrawn rupee notes to new issue notes is rapidly approaching with Indian nationals having until the 30th of December to head to an Indian National Bank before the old notes become worthless.

For any information on subjects covered in this blog or help with your particular currency needs please feel free to email me on help@currencydeals4u.co.uk. Thank you for taking the time to read this blog as an added bonus use this code when placing your order to recieve the improved rate on your currency even if its under £500!! CD4UXMAS1

THE POUND CONTINUES TO RISE! BREXIT NEWS!

Over the last week the Pound has continued to recover from the lows following the referendum in part driven by sentiment surrounding Brexit. This week we gained a glimpse of the Brexit process from Brexit secretary David Davies who implied that the UK may be willing to pay some sort of financial contribution to the EU in return for continued access to the single market. This softening of position away from the “Hard Brexit” stance that has prevailed in the media has given the Pound a boost with Market levels peaking at 1.19 yesterday for GBP to Euro.

This is currently a volatile time for the Pound and the Euro we have seen swings of 2% in the last 3 weeks. Although this doesn’t sound like a big figure it has a large effect on large currency purchases.

All eyes will be on Italy on Monday as the country holds its referendum on constitutional reforms. Prime minister Matteo Renzi has said he will resign if the vote does not go in his favor. If he should stand down this will create further political instability in Italy and this coupled with its recent banking problems is likely to have a sharp impact on the Euro. Many analysts including myself believe that should this situation come to pass market levels will rise above 1.20 GBP to EURO, this will present an excellent buying opportunity for late holiday makers this year and should be capitalized upon before Market movers return there focus to the UK and its eventual exit from the European Union. We are likely to enter a very volatile period of uncertainty as Article 50 is triggered next year and this will have a dramatic effect on the currency markets

For any further information on subjects covered within this article or for help on currency orders please email me on accounts@currencydeals4u.co.uk