Weekly Currency Update GBP/EUR - Week ending 25th June
Jun 30th 2010, 2:23 am
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Weekly Currency Update GBP/EUR - Week ending 25th June
Hi All,
As promised here’s a brief update on what’s been happening with the Euro over the last week.
Last week the highlight was the ‘unavoidable’ emergency budget which paved the way for VAT and CGT increases; however there was room to allow for a reduction in the corporation tax. Importantly this was then backed up by the credit rating agencies which stated that it would materially strengthen confidence and the UK’s AAA rating.
The other highlight was the minutes from the Bank of England meeting when rates were left on hold at 0.5%; however the surprise was Andrew Sentence, who voted for a 25bps rate hike.
Last week saw further signs that a more competitive EUR is boosting the economy with the IFO reporting the twelfth straight gain in current conditions driven predominantly by a boost in exports. Industrial orders also surged in April by 0.9% adding to the gains of 22.1% from a year ago.
GBP/EUR movement – High’s & Low’s of last week 21st June –25th June
High’s: 1.2221
Low's: 1.1935
A movement of: 2.40%
Difference on £200,000
High: EUR 244,420
Low: EUR 238,700
Difference of: EUR 5,720
Whilst FX isn't the most thrilling of subjects, the sooner you begin to think about your money transfers, the more likely you are to make your money go further.
Regards
Mark Bodega
Director - HiFX
As promised here’s a brief update on what’s been happening with the Euro over the last week.
Last week the highlight was the ‘unavoidable’ emergency budget which paved the way for VAT and CGT increases; however there was room to allow for a reduction in the corporation tax. Importantly this was then backed up by the credit rating agencies which stated that it would materially strengthen confidence and the UK’s AAA rating.
The other highlight was the minutes from the Bank of England meeting when rates were left on hold at 0.5%; however the surprise was Andrew Sentence, who voted for a 25bps rate hike.
Last week saw further signs that a more competitive EUR is boosting the economy with the IFO reporting the twelfth straight gain in current conditions driven predominantly by a boost in exports. Industrial orders also surged in April by 0.9% adding to the gains of 22.1% from a year ago.
GBP/EUR movement – High’s & Low’s of last week 21st June –25th June
High’s: 1.2221
Low's: 1.1935
A movement of: 2.40%
Difference on £200,000
High: EUR 244,420
Low: EUR 238,700
Difference of: EUR 5,720
Whilst FX isn't the most thrilling of subjects, the sooner you begin to think about your money transfers, the more likely you are to make your money go further.
Regards
Mark Bodega
Director - HiFX
