Euro rate hits 6 month high

Following yesterday’s decisions by the European and UK central banks, the Euro has weakened off to give us the best rates for buying Euros since March.

The Bank of England decided not to extend its Quantitative Easing (QE) programme, and the European Central Bank announced there were no further interest rate rises imminent in the single currency area.

Both these releases were sterling-positive, since QE would have been bad for sterling, and further Euro interest rate rises would have made the Euro more expensive.

The Bank of England is still tipped to increase QE in the coming months if the UK’s recovery does not kick into gear, so if you need to send payments in Euros it could be a good time to look at securing your rate. Don’t forget Currency Index can offer fixed rates of exchange up to 2 years ahead, useful if you do not need your currency yet but do not want to miss out on some respite for sterling.