Euro (€) Currency Thread

dealsearcher

1.06 here we come!

inspector_monkfish

seems markets are intent on whacking the Pound lower, whatever news comes out.

My opinion is that GBP/EUR rate WILL get better later on this year, but not before the markets send it lower again. I would guess something like 1.04 being a nice low for it to bounce off.

I hope I'm wrong, and instead it flies onwards and upwards from where it is right now, but it just seems as though there is a little bit worse still to come before things can get better.

It doesn't make sense, for I can see no reason for it to go lower, but someone somewhere seems to be dicking around with it and not playing by the usual rules !! :mad:

inspector_monkfish

08:05 18Mar09 EUR/GBP: Ascends to Seven-Week Peak, BoE QE Risk Underpins

[08:05 EUR/GBP: Ascends to Seven-Week Peak, BoE QE Risk Underpins] London, March
18.

EUR/GBP has just scaled a seven-week peak of 0.9325 as the pound continues to
suffer on the back of the ever-present risk that a segment of the proceeds from
the BoE"s "Quantitative Easing" gilt purchases might be exchanged into other
currencies by foreign investors. The BoE will today buy another GBP 3bn of gilts
via "reverse auction", following its recent cumulative purchase of GBP 4bn of
gilts (GBP 2bn on Monday, and GBP 2bn last Wednesday).

EUR/GBP offers are touted at 0.9330, with buy stops tipped above 0.9350 (Jan
28 high) and 0.9360. The latter level approximates to a 61.8% Fibo retracement
point of the fall from 0.9805 (Dec 30, record high) to 0.8637 (Feb 10 low).
0.9320 was last Thursday"s high (post-SNB Monetary Policy Assessment).

Minutes from the March 4/5 BoE MPC meeting, at which the GBP 75-150bn Asset
Purchase Programme was unveiled alongside a 50bp Bank Rate cut to 0.5%, will be
published at 09:30GMT. UK unemployment data is also due at 09:30GMT. An 85k rise
in February claimant count unemployment is forecast. January"s ILO jobless rate
measure is forecast to rise to 6.5%, from 6.3% in December.

UK FSA chairman Adair Turner will today propose new rules on UK bank lending
and seek to restrict the ability of banks to take excessive risks (BBC website).

The governing Labour party still has a slim chance of winning the next UK
general election, according to a Guardian/ICM poll. The deadline date for the
next UK general election is 3 June 2010.

inspector_monkfish

trading at 1.0710

TuftyMatt

As we move closer to the spring / summer breaks I would imagine a large percentage of people within the Eurozone who make their living from the tourism industry would also want to see the pound regain the lost ground over the euro.

Most people set a spending budget before going away and in most cases this will be done in pounds and then converted into euro's. The more they get = more spent in resturants, bars, shops etc so this has to help the local economy.

In these hard times most brits will draw a line on having too many little extras while away and this is made worse with a weak pound so as a result that has got to hurt all concerned within the Eurozone.

inspector_monkfish

TuftyMatt wrote: »

As we move closer to the spring / summer breaks I would imagine a large percentage of people within the Eurozone who make their living from the tourism industry would also want to see the pound regain the lost ground over the euro.

Most people set a spending budget before going away and in most cases this will be done in pounds and then converted into euro's. The more they get = more spent in resturants, bars, shops etc so this has to help the local economy.

In these hard times most brits will draw a line on having too many little extras while away and this is made worse with a weak pound so as a result that has got to hurt all concerned within the Eurozone.

loving your line of thought Matt !

just get an image of some greasy spanish run-down bar owner having a say on where the GBP/EUR rate goes this summer !!;)

TuftyMatt

LOL,

I can see the signs now "By our special downturn dinner and get one half price."

Or how about "Pedro's Banking balls up breakfast, all you can eat for 3 euro's."

dealsearcher

The reason why the pound is losing out to the euro at this time is quite clear to me. It is because I have to buy some euros at this time. :mad:

inspector_monkfish

trading 1.0702

2mins before MPC minutes and Unemployment data....

i'd like to think it can only go north, as any potential bad news is already factored in with this mornings slump

but hey, there are no rules anymore....

inspector_monkfish

hahahahaha:rotfl:

crashing down to 1.0640 immediately


bad numbers