Beachcomber

Anyone interested in the sterling - euro exchange rate since 1999 see here:

http://www.ecb.int/stats/exchange/eu...ph-gbp.en.html

bigglesworth

Thanks, Beachcomber, useful link.

EsuriJohn

If you take a look at Beechcombers link you will find that is not true. It started in 1999 at 1.40 climbed to 1.74ish twice in 2000 stayed about 1.64ish for most of 2001/2 then gently fell back to mid 1.40s until mid 2007 from where it has fallen to todays low levels in six months. If the politicians and headline writers were a little less strident with the bad news and more balanced I would hope to see it rise into the 1.20s again.

I don't think the ECB would want to see us join at parity it would put too much strain on the euro. They thought 1.30 was about right and I guess in todays climate 1.20 would be about right but there is no clamour to join from this side so I guess it won't happen.

poshnbucks

http://newsvote.bbc.co.uk/2/shared/f...hree_month.stm



Yee canee take it with thee whenya dieeee........There are no pockets in Shrouds............. I ken what you mean but ma holes too wee

costaman16

Anyone fancy guessing what the Pound verses the Euro will be on Monday after 2 big US car makers go bust over the weekend? good job we are not dealing in dollars. I am guessing 1.1050 Currencies Direct Ltd are quoting 1.1230 today

Casa Santo Estevo

Tourists are already getting 1 pound to a €
http://www.sharecast.com/cgi-bin/sha...ory_id=2509356

shirley and anthony hide

Anyony who buys their foreign currency at an airport should'nt be allowed out
without a nurse. No one should be getting 10% or more below bank market rates. Any High Street travel shop should give you 4 to 5% max below.

sonnyc

I agree, around that time it climbed as high as 1.8

shirley and anthony hide

The worrying thing for Stg is when the Euro weakens against the dollar it tended to weaken against Stg as well and vice versa.We have seen weaknes in the Euro in last couple of months against the dollar but Stg has been weaker against both. The big problem for Stg is that its interst rates are now below the Euro for the first time that I can remember so carry trades
ie buying the higher yielding currency against the other is working against
Stg.There has been a big unwinding of these trades as well due to the credit crunch and FLIGHT TO QUALITY. That is why you have stg/yen going from
200 to below 140 in last 3 months.People used to sell yen whose interest rates have been virtually zero for ten years or more and buy Stg for example to invest in UK assets. And borrow the Yen they were short in the money markets effectively funding a Stg asset with a very low interest rate.This is now all being unwound . So cannot see where Stg gets support from at moment unless ECB and BOE says current levels are unacceptable and backs it up wiv intervention, not likely at moment.

casavidi

How long do you think it'll take to recover, even back up to 1.20? ...and how low do you think it may go before we see any hint of recovery? It seems to have become a very steep and slippery slope this last couple of weeks or so. We didn't think 1.21 was great a few weeks ago, but that looks pretty good at the side of today's rate.

shirley and anthony hide

You know everyone is talking about parity now ,its beginning to look like a self fulfilling prophecy so might just well see that before 1.2100.As I said week or so ago what reason is there to buy Stg.Because its so low it can't go any lower?? People were buying at 1.21 on that premise and look where we are now. Until the fundementals change the trend remains in place .

johnny13

The whole thing is frightening.

gaelgoir

As a non British person, but in Euroland, can I politely ask if you would join the Euro now ? (if that were possible due to criteria etc.)

Also, can I ask why there is so much resistance from British people to joining the Euro?

Maybe it's not being able to set your own interest rates, or not having the Queen on the currency notes..... etc.

Is it something to do with sovereignty, wanting to be independent of Europe or what? I'm a bit baffled by the complete anti Euro stance I notice from Britain, and all I want is a reasoned explanation!

I'll get me coat now....

nessyp

Personally I think its crazy all these different currencies, withooiut getting into economics wouldnt it be great if we could have one currency world wide.
Im in australia these days but still have a property in spain.
Im hurting paying my mortgage in spain as the aussie $ has slipped too against euro.
It was 1 euro to $1,40 last year, now its 1;2 costing me a fortune but hey

03630

I suspect it is all of those things, but most importantly the interest rates. The Brit has no concept of saving. If given a payrise he thinks good, now I can borrow more. The politicians realise this and therefore thought that a Britain with Euro low interest rates would not be good. Looking at the UK today I think they have a point.