Currency speculation

It is not often we get the chance to be on the upside.

With the euro at its current level I have paid off the balance of this years ferry ticket. It is not due for another 6 weeks or so.

I have also begun to gradually accumulate euros for the trip.

Don't know how the exchange rate will go between now and June, but it is nice to think that as I write I am ahead of the game.

Now what do others reckon will happen as I still need to gather more euros and top up my euro prepay card.

I will give 14 pounds to the person with the most accurate prediction of what the rate will be by Good Friday!

Davy

It only takes a comment from one of the central bank people to start a run up or down on a currency. While the data across Europe as a whole is weak and UK at present is strong, it isn't in the uk's interest to keep stg stong against its main export partners. It used to be quite easy to track the rate based on interest rates, but that has long gone out the window as the UK has a higher rate it should be it should be higher, but it's not. The situation with not only Greece but also Spain Italy Portugal and even France as Germany is the main stay of the whole EU project will keep the euro on the back foot for a while. Until market confidence returns to the euro then it in my opinion will be a slow increase. Will it reach the levels we once saw of €1.50 I don't think so but it could get up to around €1.40 but it may be the end of the summer before that happens.

As out nearest neighbors the sterling being strong against the euro suits us as a nation and our exports go up and the government love that. It just means that everything we want to buy gets more expensive I bought a book for my ten year old on amazon.co.uk and was floored when I saw the conversion, but it was too late yo back out.

Love it Ken. don't think I've seen the term "mainland europe" before. Suits you sir. Oh.