Dollar pushes Euro rate higher

Yesterday saw the rate for buying Euros climb to a fresh post-2007 high, as stronger data from the USA had a see-saw effect making the Euro cheaper, despite better than expected German unemployment figures.

American Durable Goods Orders were far better than expected, and beneath lower inflation figures were a rise in core inflation in the States, giving the Dollar renewed strength after a softer performance in recent days. The rate for sending payments in Dollars fell around a cent, as the Greenback gained in value yesterday afternoon.

A stronger US Dollar often means a weaker Euro, and with the Pound stuck in the middle after economic growth figures in the UK came out bang on expectation at 2.7% for the year to December 31st, we saw the Euro buying rate reaching levels which only a few weeks ago would have seemed wholly unimaginable.

To illustrate the point, the direct rate between the Euro and US Dollar, was near its lowest since 2003 in trading yesterday. This is obviously good news for those of you looking to facilitate purchases in Europe, with even fixed rates for a year ahead now available at extremely appealing exchange rates.

UK business investment also fell in figures released yesterday – the sharpest decline since 2009 – in a warning that all may yet not be well for UK plc.

US GDP today

Today we don’t have much important data to worry about, with the exception of American GDP at 1.30pm. German inflation at 1pm could also be of interest, but there is nothing due out in the UK likely to affect the Pound.

Other than that of course the ongoing Greek / Eurozone negotiations, in which the temporary debt extension seems to have only extended uncertainty, continues, and in other UK news Ladbrokes is set to close 60 betting shops in the UK – when it comes to buying your currency, remember that a gamble to hold out for higher rates can often end in a disappointing loss.