Showing posts from July, 2013

Why has Pound fallen against Euro? JUL/AUG 2013

Wednesday 31st July 2013
Good afternoon.  Sterling has not had a very good run in the last few weeks, and exchange rates have continued to fall since my last post. This is a bit of a surprise, as the most recent economic figures for the UK have actually been pretty good. It’s all down to speculation on what the Bank of England will do with interest rates, and in today’s report I will explain why the Pound has been falling against the Euro to the lowest rate since February. In today’s post:
Why the Pound has fallen against the EuroHow will the Bank of England move forwards?What data releases could affect rates in the next week?Find out how good our exchange rates are. 
Why the Pound has fallen against the Euro?

The Pound has fallen to its lowest levels since February, and at the time of writing GBP/EUR rates sit at 1.1425. Just a few months ago rates were approaching 1.20. In some respects it’s quite a surprise the Pound has fallen as there have been some decent economic numbers out of the…

Sterling steady ahead of GDP figures.

Tuesday 23rd July 2013 
Good afternoon. It’s very quiet in the currency markets at the moment, with the media hype currently focusing on the Royal baby and a lack of any significant economic data releases. The Royal baby news had the same impact on the markets as the announcement that Peter Andre and partner are expecting – none whatsoever! 

So in today’s report I will have a look at the most recent UK news that has helped Sterling, and a look at what other releases we have this week that might affect the currency markets. In today’s post: 

UK Recovery set to gather pace in 2014 Government borrowing falls helping the Pound UK Growth figures released this Thursday How to get the best exchange rates 
UK Recovery set to gather pace in 2014 

The UK's recovery will gather pace into next year, as exports and business investment help to boost the economy, Ernst & Young's Item Club has predicted. The forecasting group predicted that UK economic growth would be 1.1% this year, rising to…

Pound/Euro rises from 3 month low after BoE MPC Minutes

Wednesday 17th July 2013 
Good afternoon. It’s been an interesting week for Sterling exchange rates, with GBP/EUR falling to its lowest in more than 3 months, before recovering on positive news from the Bank of England this morning. In today’s post I’ll take a look at what has caused the swings in exchange rates. 

Pound hits 3 month low vs. Euro 

Earlier this week, poor inflation figures pushed Sterling lower, dropping intothe €1.14’s against the Euro, which is its lowest in more than 3 months. The reason the Pound weakened is that the economic numbers lent support to the case for more monetary stimulus from the Bank of England. 

It has been speculated for some time now, that the new BoE governor would pursue aggressive Quantitative Easing, which would weaken the Pound significantly. This view was not to last however, as today we saw the latest minutes from the Bank of England’s (BoE) Monetary Policy Committee (MPC) meeting. 

Bank of England’s MPC vote unanimously to hold QE and interest r…

Pound/Euro falls despite better data. 2013 forecast.

Friday 12th July 2013 
Good morning readers. Apologies for the blog being quiet for the last fortnight; I’m just back from a few weeks in Fuerteventura, and so today I will take stock of how the major currency pairs have performed over the last few weeks, and take a view on what the forecast is for Pound/Euro rates along with other major currencies. 

In addition to looking at the outlook for Sterling exchange rates, I’ll list the main data releases for the next week that may affect exchange rates. In this week’s report: 

UK Interest Rates to remain on hold for foreseeable future Will Pound/Euro rates rise or fall this summer? Pound/Dollar rates drop below $1.50 before recovering Central Banks likely to continue Quantitative Easing Pound held back despite better economic data 
How has Sterling performed, and where are GBP/EUR rates headed? 

In the last few weeks, the pound had fallen sharply against other currencies after the Bank of England warned that markets were wrong to assume that it …