Important Week Ahead For Pound Euro Exchange Rates
This week sees important news due out around the world likely to affect exchange rates. In the UK, we have the much-anticipated Quantitative Easing announcement from the Bank of England, which could hurt the Pound, and in the Eurozone as talks with Greek creditors roll on there is pressure on Athens to agree to savage spending cuts being imposed by the European institutions as a condition for the bailout package.
The Euro has weakened in the last few days (better exchange rates for buying Euros) as Greek problems have dragged on and other embattled economies (Spain & Italy) saw bond rates increase. The Eurozone is entering a critical phase as the Greek bailout must be agreed in time to refinance borrowing next month, so as in the last few weeks we would expect any signs of an agreement leading to Euro strength (lower exchange rates) and any escalation of arguments resulting in Euro weakness. High Eurozone unemployment figures on Tuesday also helped keep the single currency trading at cheap levels.
For impartial comments on the possible outcome for pound/euro exchange rates please contact one of the brokers at Currency Index for a chat and to discuss the options available to you for maximising your exchange.