# Exchange Rates - Euro Sterling



## helpneeded (29 Sep 2006)

Anyone have any ideas about how the euro/sterling rate will move in the next 12 months. I will be transferring a large amount of euros into sterling in 12 months time. From looking every so often it seems that euro has traded between 66p and 68p for a long time. This seems to be unprecedented stability.

Factors which may weaken sterling in my opinion could be economic growth in eurozone, tony blair stepping down with resulting political instability and increasing eurozone interest rates. However, none of these have so far had any noticeable effect.

Does anyone have any ideas?


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## ClubMan (29 Sep 2006)

This is not an Overseas Property Investment query so I have moved it.

Nobody can predict the future with any degree of accuracy so speculation about future interest rate behaviour will be just that.


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## CCOVICH (29 Sep 2006)

Check the futures market.


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## room305 (29 Sep 2006)

Sterling is quite over-valued in my opinion. How long this will continue is another matter. I would be inclined to switch sooner rather than later but I am no expert on these matters.


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## irishlinks (29 Sep 2006)

If anyone knew for sure what was gong to happen they could make loads of money and probably wouldn't tell the rest of us.
This Site  has a 12 month forecast - and they reckon the euro is going to get stronger - maybe upto 72p.  But who knows what will really happen.
I was in a similar situation 2 years ago - I had a lump sum of sterling and was changing to euros. I watched the rates and kept working out when was the best time to convert - in the end I exchanged half of it and left half as sterling in a UK account and exchanged that when I needed it. The interest rates are higher on sterling - so that is another factor to consider if you are going to leave the money in an account for a while. You could be better off getting into sterling soner rather than later because of the extra interest. 
Also - don't just let the bank do the exchange for you - you could save hundreds by getting specialist currency traders to do it . The commission will probably be lower and the rates better - especially on large amounts.


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## plaudit (29 Sep 2006)

Euro up to ~.678 today from a yearly low of ~.668 on Tuesday. It peaked in early April ~.702, so your figure of ranging between .66 and .68 is inaccurate.

But look at GBP/CHF over the past year. It traded a tight range and then bang it went from 2.26 to 2.36 in a month, so you just never know. 

If you don't need to do it all in one go maybe you can open a sterling account and transferr it in incrments. A sterling account will also pay more interest.


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## CCOVICH (29 Sep 2006)

plaudit said:


> A sterling account will also pay more interest.


 
To compensate for the exchange rate differential.......


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## plaudit (29 Sep 2006)

CCOVICH said:


> To compensate for the exchange rate differential.......


 
If only it was that simple.


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## CCOVICH (29 Sep 2006)

plaudit said:


> If only it was that simple.


 
??

What makes it more complicated?


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## plaudit (29 Sep 2006)

CCOVICH said:


> ??
> 
> What makes it more complicated?


 
I'm thinking of something else, I think I know what you are referring to now.


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## Smi1er (30 Sep 2006)

Will the Euro exist in 12 months? Stories are already around that the Big Powers want out at the next recession.


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## ClubMan (30 Sep 2006)

What "stories"?


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## Bank Manager (30 Sep 2006)

Not an expert myself but here's the view of Dr Dan McLaughlin, Chief Economist with BOI.  (Remember it's his view - other economists may differ).

BM

[broken link removed]


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## tyoung (30 Sep 2006)

plaudit said:


> If only it was that simple.


 
It's not that smple. Hedge funds have been borrowing in low yielding currencies and investing in high yielding currencies such as the NZ dollar the Icelandic Kroner and the pound. So perversely the high yielders have become overvalued and the low yielders undervalued.
  I think the pound is way overvalued and due a correction.(British property buyers/holders beware).
   On the other hand I think the yen is way undervalued. Anyway to play the pound/yen differential that is not time limited?


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## Eurofan (30 Sep 2006)

ClubMan said:


> What "stories"?



Jims best mates sisters cousin knows this girl who hangs out with this other girl who, like, i think works at a bank, or something and she said that's whats happening.


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## whathome (30 Sep 2006)

Eurofan said:


> Jims best mates sisters cousin knows this girl who hangs out with this other girl who, like, i think works at a bank, or something and she said that's whats happening.


 
I think I know her.

What actually happened was she was at a conference on the Euro but there were power supply problems throughout and then the power went out Big time at the following recess.

She told her friend about this while chatting on the phone who misheard it as:
"I'm at a conference on the Euro! Big Powers want out at the next recession"

All just a misunderstanding.


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## helpneeded (3 Oct 2006)

Anyone know where I can find futures prices and/or forward contract prices on the net

thanks


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## Pegasus (4 Oct 2006)

irishlinks said:


> Also - don't just let the bank do the exchange for you - you could save hundreds by getting specialist currency traders to do it . The commission will probably be lower and the rates better - especially on large amounts.


 
How do you go about engaging a specialist currency trader and what sort of minimum amounts for them to be interested/ to be worth your while?


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## acannydoitji (9 Oct 2006)

Pegasus I've just opened an account with XE.com to convert £stg to €uro this week.  Theres a link from their website.  

I have not used the process as yet and have no connection to them.


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## Guest109 (11 Oct 2006)

today in Buttercrane Newry i got 147 euro for £100, been a long time since i got a rate like this


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## sunrock (16 Oct 2006)

i hear frequently that the gb pound is overvalued
that may be but you can buy as much with the pound in uk as the equivalent in euros in ireland
ok maybe euros will buy more in continental europe
and do people think the pound is going to fall in value against the euro if it is overvalued and if so why hasnt it done so already
the uk gov still controls interest rates so it could stay "overvalued" indefinitely if it suits


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## Pegasus (24 Oct 2006)

acannydoitji said:


> Pegasus I've just opened an account with XE.com to convert £stg to €uro this week. Theres a link from their website.
> 
> I have not used the process as yet and have no connection to them.


 
acannydoitji, how did you get on with this?


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## Guest109 (7 Nov 2006)

In buttercrane today i got 148 euro to £100 sterling, a few weeks ago i had got 147 i think it was higher last week but cannot be sure,so when is the euro going to bottom out,maybe now is the time to buy euro,s


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## Sidewinder (10 Nov 2006)

Not exactly Euro-Sterling but an extremely important development in the ForEx markets today.

The Dollar is toast.


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## acannydoitji (16 Nov 2006)

Hi Pegaus - initiated exchange one week ago, from barclays UK to XE account in UK.  As of this morning the funds had still not been received.  WIll speak with barclays & see what light they can throw on the situation.


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## Foxtrot (16 Nov 2006)

I've used XE for euro to dollar trades several times & the service was always great. Phone them if you've got a problem or question - they're uberpolite Canadians.


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## helpneeded (20 Dec 2006)

how much does it cost generally speaking for that xe.com money change.

I went through their demo and I know they charge me 15 euro for the wire transfer. does anyone know how much it costs to wire the money from an aib account (euro) and then does ulster bank sterling account charge money for receiving a wire?


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