Euro (€) Currency Thread

inspector_monkfish

MEMBER02 wrote: »

Noone can predict these things!!!!!

of course they can - given the right information!

inspector_monkfish

jyonda wrote: »

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.

just for your info, the next ECB meeting is this Thursday (5th Feb), same day as BOE.

BOE at 12.00
ECB at 12.45

BOE are expected to cut
ECB are expected to leave rates unchanged

ECB have 'indicated' that they are possibly more likely to cut at the March meeting.

In a recent poll of 'experts', 57% went for a 0.75% cut by BOE, and 43% went for a 0.50% cut.

....but don't take anything for granted until it actually happens.....!!;)

inspector_monkfish

spitfirebbmf wrote: »

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.

hi spitfire

i still think the 'uk banks' excuse is pretty pathetic, when they use it as a a reason for GBP being rubbish!

Euro Banks are even worse!
All the German 'Landes Banks' are in a real bad mess.
Belgian's are in trouble, so are Spanish, Italian, Dutch and Austrian's - they are almost all borrowing money from the state, to keep afloat.

GBP is due a decent bounce in my opinion..

inspector_monkfish

inspector_monkfish wrote: »

just for your info, the next ECB meeting is this Thursday (5th Feb), same day as BOE.

BOE at 12.00
ECB at 12.45

BOE are expected to cut
ECB are expected to leave rates unchanged

ECB have 'indicated' that they are possibly more likely to cut at the March meeting.

In a recent poll of 'experts', 57% went for a 0.75% cut by BOE, and 43% went for a 0.50% cut.

....but don't take anything for granted until it actually happens.....!!;)

those poll results have changed since i typed that this morning

now going:
48% for a 0.75pct cut
52% for a 0.50pct cut

so as you can see, its a tough call....

spitfirebbmf

Sterling fell against the dollar and euro on Tuesday after the previous day's heavy losses with investor concerns over UK economic and financial sector health still hampering sentiment. Wariness was also heightened ahead of a Bank of England interest rate decision on Thursday, which is expected to see the cost of borrowing cut 50 basis points to 1.0 percent.
The relative performance of financial stocks is still a big driver of euro/sterling. You can't be really confident that sterling has troughed until there is some sense that financial stocks have stopped under-performing the broader market.
That's still a vulnerability that will remain for sterling even when the interest rate cycle turns positive. Going forward however,FTSE 100 looks set to offer investors better protection from equity slides than Germany's DAX this year, supported by weak sterling and a more accommodating monetary policy.
The pound had fallen 0.6 percent on the day to $1.4177, having shed 1.5 percent on Monday to $1.4049.
The euro rose 0.4 percent to 90.35 pence, after tumbling to its lowest since mid-December last week at just above 88 pence.
On the data front, the Chartered Institute of Purchasing and Supply/Markit construction PMI index rose to 34.5 in January from 29.3 in December. But that was the 11th month running the index has been below 50, the level which marks contraction.
Investors dumped sterling on Monday, swiftly reversing last week's strong gains, after credit rating agency Moody's Investors Service downgraded Barclays and as economic data continued to paint a gloomy outlook.
The potential for a growing interest rate differential between the UK and the euro zone has also helped push sterling lower.
In contrast to the BoE, there is virtually no chance of a rate cut from the European Central Bank when it meets on the same day, even though rates in the euro zone are currently higher at 2 percent.

jyonda

inspector_monkfish wrote: »

i still think the 'uk banks' excuse is pretty pathetic, when they use it as a a reason for GBP being rubbish!

Euro Banks are even worse!
All the German 'Landes Banks' are in a real bad mess.
Belgian's are in trouble, so are Spanish, Italian, Dutch and Austrian's - they are almost all borrowing money from the state, to keep afloat.

GBP is due a decent bounce in my opinion..

Are UK banks not being bailed out and nationalised too?

Last week was the Sterling bounce IMO and this week it's set to drop against the Euro possibly until after the inflation report on the 11th. I can't help thinking that this volatility is good for the banks to generate income and helps to provide a balance of sorts by staggering the bad news as part of some overall scheme to hold the world order together. Or is that going a bit too far?

inspector_monkfish

jyonda wrote: »

Are UK banks not being bailed out and nationalised too?

Last week was the Sterling bounce IMO and this week it's set to drop against the Euro possibly until after the inflation report on the 11th. I can't help thinking that this volatility is good for the banks to generate income and helps to provide a balance of sorts by staggering the bad news as part of some overall scheme to hold the world order together. Or is that going a bit too far?

yes they are - and thas exactly my point!
people are trying to use the excuse that uk banks are in trouble, therefore gbp is rubbish!
but euro banks are just as bad, if not worse!
germans especially.

jyonda

I think it's because although bankers from all countries have bought into bad debt, the UK market is notorious for easy personal credit which has fueled grossly overvalued property prices. Whereas In Germany and much of the EU personal debt is not nearly so high and very few people comparatively actually own their homes so the exposure to negative equity is not nearly so great.

subrosiejo

Hi

I am looking for the best place to exchange 4,000 Euros to Sterling.

I currently have it in my Euro account with Lloyds TSB but their rate is not great....

Any help gratefully received!

inspector_monkfish

subrosiejo wrote: »

Hi

I am looking for the best place to exchange 4,000 Euros to Sterling.

I currently have it in my Euro account with Lloyds TSB but their rate is not great....

Any help gratefully received!

BBVA Bank, in Cannon Street, London.

They are a Spanish Bank, and often their spreads are not as wide as some places.