The Pound has gained vs the Euro and the US Dollar after mortgage approvals in the UK jumped to over 67,5000 from the estimate of 65,000. This shows that even in the wake of the Brexit vote people are still borrowing and it highlights that the UK economy is still doing well in spite of the vote to leave the European Union back in June.
The good news about UK mortgage approvals is that it is a good indicator as to the overall health of an economy and one of the first sectors to fall in an economic downturn.
Over the weekend we could see a huge amount of volatility for GBPEUR exchange rates when the Italians hold their own referendum on Sunday regarding constitutional reform.
The Italian Prime Minister Matteo Renzi has suggested that he might step down if the vote does not go his way and political uncertainty often has a big negative impact so if the vote goes the wrong way for Renzi we could see GBPEUR exchange rates go in an upwards direction.
Other European countries are going to the polls next year including France and with the right wing Marine Le Pen gaining 20% of the vote according to some recent polls this could see things changing on the continent politically next year.
If you’re in the process of selling your property in France or Spain and are worried about the Euro going in the wrong direction it may be worth buying a forward contract which allows you to fix an exchange rate for the future for a small deposit.
Having worked in the foreign exchange industry since 2003 I am confident of being able to offer you better exchange rates than using your own bank and also help you with the timing of your transfer of funds.
If you have a currency transfer to make and want to save money on exchange rates compared to using your own bank then contact me directly for a free quote and I look forward to hearing from you.
Tom Holian email@example.com