Call Free Phone Now:0808 163 0102
Outside the UK: +(44) 207 898 0541 Request a Call Back
  Daily Currency News Euro US Dollar Educational Articles  
Posted June 9th, 2011 by Charles Purdy

EUR/GBP Rate & Comments for 9th June 2011

EURO/GBP - 1.1236

Sterling recovered earlier losses against the euro and US dollar after investors played down earlier comments by rating agency Moody’s. The credit rating agency had earlier stated that the UK’s AAA credit rating would be at risk if the government failed to hit debt reduction targets amidst slowing growth. Figures from the British Retail Consortium also dented sterling, as a report showed that UK shop price inflation slowed in May to the slowest rate this year – decreasing the chances of an interest rate hike at today’s Bank of England meeting. The MPC is expected to keep rates on hold, but with the ECB meeting taking place as well we could see some volatility.

In the euro zone, data showed that German industrial production slipped for the first time in 4 months in April. However, this was generally overlooked by investors who are bracing themselves for today’s ECB interest rate decision. The central bank is expected to maintain interest rates at 1.25%, but signal “strong vigilance” i.e. a 0.25% rate hike next month. Watch out for the press conference afterwards, as this can cause a lot of volatility – call in now for a live exchange rate.

For individual requirements, visit the website and for companies visit the website

Be Sociable, Share!

Comments are closed.

© Copyright 2010 Smart Currency Exchange. All Rights Reserved.
Site by Iniquus