Read the Beforeitsnews.com story here. Advertise at Before It's News here.
Profile image
By Pound Sterling Forecast (Reporter)
Contributor profile | More stories
Story Views
Now:
Last hour:
Last 24 hours:
Total:

GBPEUR Exchange Rate: Week in Review April 17th

% of readers think this story is Fact. Add your two cents.


The GBP to EUR exchange rate was weaker for a second week after sterling failed to bounce on positive GDP readings. The previous week had seen traders bail out of the British pound after the Prime Minister squashed any dreams of holidays abroad or a faster reopening. There was no data to move the euro and the economy is still going to lag the UK this year, but the bears won on the week.

The GBP to EUR was trading below the 1.15 level on Friday after early week bounces in the pound were surrendered.

UK GDP Can’t Rescue the Pound

The latest GDP update for the pound saw growth returning to the economy with a 0.4% reading for February. The economy was helped by a recovery from January’s dismal trade figures after delays in implementing the last-minute Brexit agreement at customs.

The UK also saw a move to the next phase of its reopening this week as hairdressers and outdoor dining returned. The International Monetary Fund (IMF) upgraded its UK growth forecast to 5.3% growth in 2021, but that was ahead of the latest figures. The IMF prediction would see the UK as the fastest-growing G7 country for the year.

The third lockdown created a lot of damage however, January’s drop was revised higher from -2.9% m-o-m to -2.2%. The UK GDP is now -7.8% below the pre-virus levels compared to analysts expectations of -8.6%. The worst-hit sector was the services again, which was 8.8% below its pre-virus mark. The sector grew only 0.2% in the month with shops still shut, but services PMIs and re-hiring seen last week could point to better days ahead.

Change at the BoE, European Inflation Suppressed

Central bank news this week saw the Chief Economist of the Bank of England, Andy Haldane resigning to head the RSA. Haldane will leave after the June central bank meeting and with the board member’s exit, the bank will lose one of its more outspoken, and hawkish members.
The pound was weaker on the news as traders realised one of the voices who believed in inflation would be leaving. It’s even possible that his recent comments about an “inflationary tiger” being unleashed, upset the bank’s governor. The global central banks have been keen to play down the market’s inflation expectations, so his timing wasn’t ideal.

German inflation on Thursday came in as expected on both figures and the country’s ongoing lockdown was the cause. The country’s health minister Jens Spahn was calling for another lockdown on Thursday, which could spell danger for the euro bulls.

The GBP v EUR exchange rate moved through the 1.15 figure on Friday after a big jump in the EU trade balance. Inflation was also the same as analysts’ predictions, but the trade figures showed a 17.7bn euro surplus. This was still 5.5% lower than a year ago before the virus hit.

Get in touch using the form below to discuss these factors in further detail ahead of your currency exchange.

The post GBPEUR Exchange Rate: Week in Review April 17th appeared first on Pound Sterling Forecast.



Source: https://www.poundsterlingforecast.com/2021/04/gbpeur-exchange-rate-week-in-review-april-17th/


Before It’s News® is a community of individuals who report on what’s going on around them, from all around the world.

Anyone can join.
Anyone can contribute.
Anyone can become informed about their world.

"United We Stand" Click Here To Create Your Personal Citizen Journalist Account Today, Be Sure To Invite Your Friends.

Please Help Support BeforeitsNews by trying our Natural Health Products below!


Order by Phone at 888-809-8385 or online at https://mitocopper.com M - F 9am to 5pm EST

Order by Phone at 888-809-8385 or online at https://www.herbanomic.com M - F 9am to 5pm EST

Order by Phone at 888-809-8385 or online at https://www.herbanomics.com M - F 9am to 5pm EST

Humic & Fulvic Trace Minerals Complex - Nature's most important supplement! Vivid Dreams again!

HNEX HydroNano EXtracellular Water - Improve immune system health and reduce inflammation

Ultimate Clinical Potency Curcumin - Natural pain relief, reduce inflammation and so much more.

MitoCopper - Bioavailable Copper destroys pathogens and gives you more energy. (See Blood Video)
Oxy Powder - Natural Colon Cleanser!  Cleans out toxic buildup with oxygen! 
Nascent Iodine - Promotes detoxification, mental focus and thyroid health.
Smart Meter Cover -  Reduces Smart Meter radiation by 96%!  (See Video)

Immusist Beverage Concentrate - Proprietary blend, formulated to reduce inflammation while hydrating and oxygenating the cells.

Report abuse
Loading...

Comments

Your Comments
Question   Razz  Sad   Evil  Exclaim  Smile  Redface  Biggrin  Surprised  Eek   Confused   Cool  LOL   Mad   Twisted  Rolleyes   Wink  Idea  Arrow  Neutral  Cry   Mr. Green

MOST RECENT
Load more ...

SignUp

Login

Newsletter

Email this story
Email this story

If you really want to ban this commenter, please write down the reason:

If you really want to disable all recommended stories, click on OK button. After that, you will be redirect to your options page.