Euro v Sterling

Vanhalla

I see the euro has got slightly stronger against the sterling over the last couple of days. Do you folks think it will get even stronger? I thought it was meant to go to **** because of the greek situation? I have some euros i need to change to sterling!

SouthBank

What Greek situation?

dasdog

It was doing well the past couple of days until 8:30pm this evening when the ECB made their stance be known.

Back down to £0.746.

BorneTobyWilde

It makes one rethink about buying anything from UK .

stevedublin

SouthBank wrote: »

What Greek situation?

The Greeks are in a lot of debt and are financially dependent on the EU, ECB and IMF.

SouthBank

stevedublin wrote: »

The Greeks are in a lot of debt and are financially dependent on the EU, ECB and IMF.

Thanks, I was being slightly sarcastic. However I should have known sarcasm doesn't work well on the web.

ftse100

Vanhalla wrote: »

I see the euro has got slightly stronger against the sterling over the last couple of days. Do you folks think it will get even stronger? I thought it was meant to go to **** because of the greek situation? I have some euros i need to change to sterling!

I don't see any dramatic change that would make a massive difference to you unless you're changing a large sum of money. The EUR/GBP rate is very much hinging on outcomes in Greece at the moment. The finance minister of Greece supported positive upside across the board for the Euro which caused the gains in the market yesterday. It's a tough one to call.

wolfyboy555

No real sign of any improvements. I was hoping to buy a car in the UK next week. Seems like the wrong moment to do so. Any chance of an improvement soon? Buying this time last month would have been 500e cheaper!!

ftse100

wolfyboy555 wrote: »

No real sign of any improvements. I was hoping to buy a car in the UK next week. Seems like the wrong moment to do so. Any chance of an improvement soon? Buying this time last month would have been 500e cheaper!!

Is the car in the UK still cheaper than the Irish Market equivalent after you factor in VRT etc?

wolfyboy555

Only a tad. Certainly not as much as it once was.

DarkDusk

In the unlikely event of Greece leaving the Euro, the currency would strengthen because Greece and the other peripheral countries keep the Euro cheap. This is why it's not in Germany's interests to let Greece exit because they depend on a cheap euro to increase the competitiveness of their exports.

eeepaulo

DarkDusk wrote: »

In the unlikely event of Greece leaving the Euro, the currency would strengthen because Greece and the other peripheral countries keep the Euro cheap. This is why it's not in Germany's interests to let Greece exit because they depend on a cheap euro to increase the competitiveness of their exports.

Do you think there will be a short term weakening (uncertainty) or is that already factored in?


EDIT or will the markets react positively immediately?

dasdog

Evidence last night of how EUR/GBP will react at least short term to Greece staying in. The news flashed through after the event started but I had noticed my USD positions rallying and the EUR/GBP short rapidly going the wrong way.



Screen grab is from my laptop but the source behind the false news was CNBC which explains in more detail.

I wouldn't go rush changing money but if I was pushed I would wait until after Monday's meeting and then wait for a poll showing a rise in support for UKIP or a similar pre-election event which would put the UK's Euro membership in question. Risk is already priced in IMO.

mgn

What's the chance of the euro getting stronger now that Greece is getting another bailout.

DarkDusk

I'm think we will see a stronger euro in the future. I believe that the United States are not ready to and will not raise interest rates. Much of their economic data proves this but they'll probably blame it on something else such as China slowing down etc. etc.

I think QE4 is coming for the dollar and with that a huge devaluation of the currency.