The strengthening Euro

[davex4]

Caught something on the news that Portugal is in trouble economy wise now to having to get a big bail out by the big Euro banks. Plus the interest rate for the € has been raised from 1% to 1.25%. It is also adding to concerns that struggling Euro countries may find it harder to recover.

That will also probably make another short term increase for the exchange rate between the £ and the €, The exchange rate has actually dropped on the high of yesterday. But it will be interesting to see if or by how much the exchange rate will improve in the next week. I'd now not be surprised to see it go as high as €1.17 to the £1 by the end of next week. Of cause the UK economy changes also effects things. But I'd say the £ is suddenly starting to look a stronger currency over the € than it was a week ago.

But don't forget Dave, the interest rise in the Euro zone could make the Euro more attractive to investers, but with the Portugal bail out will it be enough? Will it stay the same, drop or rise? Billions have be won and lost trying to forecast such matters. As a humble tourist, like us all, I just want the best deal possible.

[Dave J]

Well recent news over the Euro and another Euro currency country needing help does'nt really give the impression the exchange rate will worsen for the British (or other countries) tourist. I'd say the news will probably mean a better tourist rate on the face of things in the short term.

But as you say billions are lost and won trying to work out the same rise or fall in rates. But if the British economy remains stable then there will probably be a better tourist rate in the next month if it wont help us going in the next 2 weeks.

I'm no expert in the slightest, but I'd not expect any real rate difference tourist wise for at least a week as we are heading into the weekend and things may have calmed down by next monday before any of this news and rate difference filters through to the tourist.

Just hoping it dont worsen than anything I guess

[Kingdoc]

Up again today guys


http://www.google.co.uk/finance?hl=en&tab=we


A quarter of a point may not sound like much but at least its NOT going down any further,KD.

[Dave J]

Up again today guys


http://www.google.co.uk/finance?hl=en&tab=we


A quarter of a point may not sound like much but at least its NOT going down any further,KD.

But that only aplies to the business rates in the short term. There might have been a slight increase on the markets but the tourist rate has actually dropped below €1.11 when if it was in line with the market\business rates it would be more like €1.12 and not the €1.1089 it closed at on the post office website tonight. Hence my thought that the tourist often does not get the difference in the market rates unless the change is more longer term than not I feel?.

I know there are other places that will have slightly different rates for the tourist. But the others I checked dont seem to be higher than €1.11. Of cause there are also places quoting €1.14. But I'd say thats the business rates or special rates when dealing with tens of thousands at a time per transaction.

I'll bet some find this subject as borhing as hell?. Not me I often like to get stuck into this kind of thing

[Kingdoc]

Up again today guys


http://www.google.co.uk/finance?hl=en&tab=we


A quarter of a point may not sound like much but at least its NOT going down any further,KD.

But that only aplies to the business rates in the short term. There might have been a slight increase on the markets but the tourist rate has actually dropped below €1.11 when if it was in line with the market\business rates it would be more like €1.12 and not the €1.1089 it closed at on the post office website tonight. Hence my thought that the tourist often does not get the difference in the market rates unless the change is more longer term than not I feel?.

I know there are other places that will have slightly different rates for the tourist. But the others I checked dont seem to be higher than €1.11. Of cause there are also places quoting €1.14. But I'd say thats the business rates or special rates when dealing with tens of thousands at a time per transaction.

I'll bet some find this subject as borhing as hell?. Not me I often like to get stuck into this kind of thing

Yea! it will take around a day for it to adjust from the markets to the highstreet,The start of play tomorrow you check & i bet its up,I am only glad its not going down again! & that qtr point gain today is worth 1 euro & 75 cents extra for me on my spending money compaired to yesterday ,A 1 point rise in the sterling market is worth around 10 euros pretty much if you have a 1.000 sterling pot/stake ive learned,& yea again it annoys me also when they the "highstreet" say they dont get anything from transactions when the market is at like 1.20 as it was say 7 weeks ago but yet they only gave out 1.15 & odds,Wheres the rest going,KD.

[DanFromUk]

Can someone put this into simple terms please.

When is it best to buy euros? what rate is an ideal rate?

Cheers

[Kingdoc]

Can someone put this into simple terms please.

When is it best to buy euros? what rate is an ideal rate?

Cheers

I personaly would wait a day before you make any moves! say untill monday as things look on the up a liitle,Or if your cash strapped you could check the index @ 8am on friday morning! check the starting price & if it stays the same at say 11.00am ok & then check back at say 12/1pm & if its the same well ok again,If it stays the same by the mid afternoon well i would leave it untill monday!,But if at any time it starts to loose lots of ground i would just cash up RIGHT AWAY!! in fact if that happens run down there,KD.



Close Of Play For Thursday - 7.4.11 = 1.1410

http://www.google.co.uk/finance?hl=en&tab=we

[sylersky]

Best rate you're gonna get: €1 = between .83p -.85p
At the moment it's €1 = .87p

May get better - unlikely though...

[davex4]

Can someone put this into simple terms please.

When is it best to buy euros? what rate is an ideal rate?

Cheers

Dan, if any of us really knew the answer to your question, and a reasonable question it is too, like Del Boy, this time next year we will all be millionaires

[spireax]

Can someone put this into simple terms please.

When is it best to buy euros? what rate is an ideal rate?

Cheers

I'm hoping it'll go back to 1.19 before I have to buy, might jump at 1.17 though - need to keep an eye on it at the mo as it may spike due to Portugal.
Hope that helps

[Dave J]

The Post Office website is currently quoting a rate of €1.1077, down a little again by the looks of things. Guess it might alter very slightly before closing today. But I had a feeling things wont change till next week.

But like above, if it does spike during the next week think I'll also jump at €1.17. As that will mean a good €36-€40 in exchange rate over the current rate based on what it is today. And that is quite a difference if it does go in that direction.

[spireax]

Not looking good, gone down again today. don't know how the euro seems to ride out these bailouts

[Kingdoc]

Yea were down about half a point today,If it falls anymore i am gona cash up myself.

[davex4]

Find this all interesting, but it really is a minefield out there. I have just been on moneysupermarket.com to compare various companies. At the time of posting here are 4 companies rates for how many euros you get for your £.

Ice plc 1.1145 no visa debit fee (but my bank, Barclays, will charge me £4.50 for the privilege of giving them my own money. Free delivery from ice on orders over £500)

Amex 1.098 collect from branches

Sainsburys 1.09750 (you get nectar points, but no good for me as I live in the Channel Isles. Did not check card charges)

Travelex 1.1087 (no charge for visa debit, but check if your bank charges, some do, some don't)

Obviously is not a good idea to pay for any of these using a credit card. Personally, if I lived in the UK I would draw out dosh from my deposit account for free and do the exchange at the post office. The post office here btw is not affiliated to the UK post office and are always a few cents below the UK post office. All in all, I may lose out 30 sovs or so, but that's just a round of drinks, and a cheap round, these days. If only the bank of England had increased interest rates a few days ago! Sorry for all mortgage payers, but I am a humble suffering saver. Still, maybe the euro will take a bashing before the end of the month as Spain now are in deep shite.

http://www.moneysupermarket.com/travel-money/

[Dave J]

Sure is a strange 1 how a currency can take a bashing economy wise yet still retain a certain level of strength. Prehaps some of the other Euro countries are recovering better than expected and thus offsetting any downward direction that Portugal may have taken.