Euro (€) Currency Thread

inspector_monkfish

jyonda wrote: »

Why's that? The Euro's taken a right kicking in the last 2 days so why would it get worse? The BOE may cut rates again on Thursday and there's the quarterly inflation report on the 11th which may well redress the balance with some doom and gloom for GBP. I expect to see the exchange rate yoyo up and down like this as the latest bits of bad news are announced for quite some time.

I know nothing about this stuff though so don't listen to me, by the way. But then again I probably have as much chance of getting it right as anyone else.

I believe the Euro is still in for even more of a 'kicking' !

Just my opinion, based on several bits of information i have before me.
GBP got kicked down far too low.

I'm not saying GBP or the UK are in fantastic shape - just don't think its factored in just how bad EuroZone is.

spitfirebbmf

The pound hit a two week high against the euro on Friday, helped by stronger-than expected UK lending data, while weak euro zone figures and a Moody's negative outlook on Ireland weighed on the euro.
Market participants increasingly feel that much of the bad news on the UK is already priced in to sterling and are turning attention to the euro, which many consider has room to fall further due to the deteriorating euro zone economic situation.

jyonda

I must confess to having a quantity of Euros I want to exchange to Sterling so you can imagine I was gutted to see the rate go from 94 pence per Euro to 88 pence within a week! I'll be waiting to see what happens until after the inflation report before moving the money and the way it's going the pound could easily go right back against the Euro even after the Euro has had more of a kicking. It's just swinging back and forth on each announcement of bad news hopefully and I just need to time it correctly.

shoppaholic_returns

So do we think i'm wiser to wait to buy my euros for hols in a few weeks time (4 wks)????? Or buy now??

HallamLad

I think with all the uncertainty of late you are better getting some now and then getting some just before you go, either way you're less likely to lose out.

jyonda

shoppaholic_returns wrote: »

So do we think i'm wiser to wait to buy my euros for hols in a few weeks time (4 wks)????? Or buy now??

If you are OK with the rate today then buy today as there's no real telling where it will be in 4 weeks time as it's yoyoing up and down. Buying now, ie today, before the predicted interest rate drop on Thursday happens would be a window of opportunity which is disappearing as the market begins to price the drop in. It may then get worse over the next weeks when the inflation report comes out on the 11th. The ECB will probably announce further rate cuts later this month which would see the pound regain some ground after that.

But then again none of that may happen so like I said, if you can live with the rate today then do it today.

MEMBER02

inspector_monkfish wrote: »

I believe the Euro is still in for even more of a 'kicking' !

Just my opinion, based on several bits of information i have before me.
GBP got kicked down far too low.

I'm not saying GBP or the UK are in fantastic shape - just don't think its factored in just how bad EuroZone is.

Noone can predict these things!!!!!

spitfirebbmf

Sterling extended losses on Monday, taking the euro up almost three percent on the day, as UK banking shares fell and traders cited a large buy order of euro/sterling by a UK bank. The euro was up 2.8 percent at 90.55 pence , with price movements exacerbated by thin trade.
Sterling was under pressure on renewed concerns about the banking sector after credit rating firm Moody's Investors Service downgraded long-term debt ratings of Barclays Plc.
Britain's top share index was down 2 percent at one point.
"Euro/sterling has been going up since the Barclays downgrade which has triggered stop losses," a London-based trader said.

arunadasi

My problem is a bit different to the ones stated here; the other way around.
We live from my husband's German pension. I have a standing order with his bank in Germany to transfer EUR 2000 per month on to our NatWest account, using SWIFT and BIC.
Today, the XE rate for EUR 2000 is £1803, but only £1732 came into my account.
Can anyone advise how I cna get a better rate?
The positive thing is that the money transfer is almost immediate, ie it's for the 1st of the month and already today it's on my account, even though the 1st was a Sunday. So I'd be willing to open a different account, but I still want a swift transaction.
Any suggestions?

jyonda

You could set up forward trades with a currency broker like Hifx to lock in at a favourable rate. You'd need to put down a 10% deposit on those transactions and I don't believe the money is covered by the FSA should the broker go bust but it would be a way of providing some income stability at a favourable rate.