The pound has fallen against the euro following the Bank of England’s decision to raise interest rates to 0.75%.
While this rate hike was largely expected, the Bank issued a cautious message to markets around future hikes. This caused markets to re-evaluate, sending sterling lower.
The euro continues to struggle due to the lack of progress with Russia-Ukraine peace talks. Russia has now targeted an aircraft facility in western Ukraine, the closest strike to the city of Lviv.
In a phone call between Turkish President Recep Tayyip Erdogan and President Vladimir Putin yesterday, Putin laid out his demands for a peace deal with Ukraine. These include Ukraine reducing its military, promising not to join NATO and giving up some territory close to the Russian border.
Make sure any upcoming transactions are protected against the risks of sudden market movements. Secure a fixed exchange rate now with a forward contract; call your Personal Trader on 020 7898 0541 to get started.
