Euro (€) Currency Thread

inspector_monkfish

dealsearcher wrote: »

So clearly we are doing much worse than euroland. It's obvious, right?

yep
we just admit it !!

dealsearcher

Quote from Joel Kruger, Technical Currency Analyst for DailyFX.com, Monday 9 March:

Fundamental Catalyst - The lack of event risk on Monday’s calendar is shifting all of the market focus to the UK today, with the ongoing concerns within the domestic financial sector seemingly elevating this morning, in light of the news that Lloyds Bank will now join the government “Asset Protection Scheme” (APS), while Barclays is also negotiating some form of rescue for a reported GBP60B in toxic assets. Meanwhile, Bank of England Bean has warned that the UK is in the early stage of a “particularly nasty recession.” Finally the “British Chambers of Commerce” (BCC) has come out with an even gloomier and more downbeat outlook on the UK economy, which has been seen weighing on Sterling. Nevertheless, from a data standpoint, the releases over the past several weeks out of the UK have begun to come in better than analyst consensus, to potentially warn of a bottom within the beaten down economy. In contrast, Eurozone data has begun to disappoint more consistently, and we see the greater risk from here for a more rapid Euro depreciation. Effective monetary policy will be the key to recovery in our opinion, and it is quite clear that the BoE has been more aggressive in their reaction to the financial crisis than their European counterpart. It stands to reason that whichever countries are able to get ahead of the curve the quickest will manage to come out of this global recession fastest.

(My bold print)

They keep telling us this but .....

inspector_monkfish

10:12 10Mar09 MARKET TALK: UK Banking Stocks Giving GBP Support

1012 GMT The correlation between UK banking stocks and sterling seems to be working well again Tuesday. The majors UK banks are up between 5% and 10%, GBP/USD is some 3/4 cent off the day's lows despite dire manufacturing data and the pound is a little stronger against the euro at 0.9188 from its 0.9212 low.

GBP/USD trades at 1.3845.
GBP/EUR trades at 1.0915.

TuftyMatt

Based on the UK figures released today are we trading against the Euro at a fair level or not?

They don't make good reading but then again neither are the reports from our neighbours so is around 1.10 right or should we expect a bit more closer to 1.20?

inspector_monkfish

TuftyMatt wrote: »

Based on the UK figures released today are we trading against the Euro at a fair level or not?

They don't make good reading but then again neither are the reports from our neighbours so is around 1.10 right or should we expect a bit more closer to 1.20?

its gotta be higher than this, surely.....

TuftyMatt

As Dealersearch says everything points to the rate being higher except for the rate itself.

inspector_monkfish

inspector_monkfish wrote: »

1mth Euribor now 1.361
3mth Euribor now 1.703

1mth now 1.325
3mth now 1.687

inspector_monkfish

11:14 10Mar09 EUR/USD: 6% Irish GDP Drop In The Pipeline?

[11:14 EUR/USD: 6% Irish GDP Drop In The Pipeline?] London, March 10th. According to the ECB"s Hurley the Irish economy could contract by up to 6% this year. His comments that risks remain to the downside look a slight underestimation if this is the case, with the official also suggesting local unemployment could average "over 11% for the year".

TuftyMatt

Looks like another s**t afternoon for the good old quid.

inspector_monkfish

TuftyMatt wrote: »

Looks like another s**t afternoon for the good old quid.

more like a good day for the EUR, which is performing well against the USD

The Pound is also having a better day against the USD