The pound has continued to gradually climb higher against the Euro with rates having touched 1.1770 earlier for this pair. There is currently a good buying opportunity to purchase Euros with rates close to the higher levels that we have seen over these last 7 months. The pound appears to be receiving support from the developments in the House of Commons where a vote last night in favour of the Brexit bill was won by 494 to 122, a majority of 372.
Uncertainty and hence sterling weakness could now stem from the House of Lords if things get held up there, although this is starting to look less likely considering the overwhelming majority seen last night in the House of Commons. Brexit is now rapidly approaching – It will happen with March 9th being highlighted as the likely date. Expect major volatility around this time and immediately after as it is the European response which is very unclear. For me this response will determine at a very early stage where rates for GBP EUR will head. For this very reason those clients either buying or selling Euros would be wise to get in touch to look at the options available to take the risk out of these volatile currency markets.
Concerns over Greece are also hitting the headlines and this is without doubt a burden for the Eurozone. It is being mooted that for Greece to receive debt relief then it may have to leave the Eurozone so politics are also very much at play here as well especially when considering all the European elections rapidly approaching. There is a looming payments of €8 billion that needs to be paid in July otherwise it will default on its debt yet again. There is inevitably more trouble to come for the Eurozone and hence the Euro.
If you would like further information on sterling or Euro exchange rates or any of the major currencies and to discuss how we can assist then please feel free to contact me on 0044 1494 787 478 and ask one of the team for James. Alternatively, I can be emailed directly on email@example.com