Temperatures in the UK peaked last week, as did the pound-to-euro rate which soared to highs not seen since August 2022. The pound-to-euro rate remains high this morning and is up close to 2% on the month and 0.3% since this time last week.
Following last week’s GBP/EUR high, it couldn’t be a better time to lock in an exchange rate for an overseas property purchase with a Forward Contract.
Doing so with a foreign exchange specialist can save you time, money and stress, you know, as lots of high-street banks charge for overseas transfers and their poor service which is a result of lacking specialist traders.
Against the US dollar, the pound has continued to climb since close of play Thursday and is currently up 1.85% since this time last week.
Whether the pound will continue to strengthen remains to be seen as markets prepare for a flurry of political and economic data releases this week.
Things to watch this week, other than The Ashes, will be UK inflation on Wednesday along with core inflation and various PPI figures.
Another key data release this week will come from the Bank of England (BoE) on Thursday which will announce the latest interest rate. The current rate is 4.5% but economists forecast another rate hike of 25 basis points, which would take it to 4.75%.
It’s a quiet week for the euro, but economists will be keeping an eye on its reaction to various data releases from the UK and US, as a slight inkling of pessimism can be enough to favour the single currency.
If you’re making an early summer escape overseas, talk to your trader before you go on 020 8108 5163. You can even prefund your account so that if you see the perfect property, you can secure it with a deposit.
