Euro rate

[katy]

GBP isn't weak against the $ though. They say that when the US sneezes the UK catches a cold. But they also say that about the UK and Spain. This morning on TV5 Spanish business was saying that they are finding it difficult to remain competitive due to the high Euro.

[jwc]

That is exactly right, but the converse is also true the weak pound will help UK to export to the rest of Europe.

[Don]

..... The Government recently announced that as full integration with European Driving Directives we will now change over to driving on the Right hand side of the road.
Unfortunately, there is not enough money available to do this instantly, so it will be done on a phased basis.

Year 1 - the trucks will start driving on the right hand side,
Year 2 - the buses and taxis will start driving on the right hand side
Year 3 - private cars and motorcycles will transfer to the right hand side

I guess you heard about the Scandinavian experience Colinm. To avoid any debate as to the definition of a truck, taxi, car etc, they went for a simpler change over.

Blue on Monday
Red on Tuesday
Green on Wednesday
and everybody else on Thursday.

[pigs-might-fly]

Our pensions arrived in our Spanish bank today from the UK - the lowest in euros for ages - between the two of us we are just under 30 euros worse off and that's just on DHSS OAPensions

[pentaqua-new]

Irish change to driving on the right!

Does that mean that trucks will be driving in the opposite direction to buses and cars on the same roads for the year. That should cause some interesting head-on collisions!

Do I see a host of Irish jokes emanating from this?

[alaninspain]

jwc. It would help UK exports if we made anything, but those days are pretty much gone. Supermarket chains are doing well compared with the rest of the UK economy, but they are selling essentials, and a good percentage of their sales are of foreign manufacture.

[Pigeon Tim]

The best forward rate you can get is May 2008 at 1.41 so expect it to stay low for quite some time.

Combine that with interest rates that have doubled in the last 2 years and the outlook aint too good.

[Faire d'Income]

Don't think it will get any better for a while. I fear a recession is coming to UK big time and that only means a weak pound.

No it doesn't. The UK's single biggest trading partner is the US with the main reasons sterling being so strong against the $ dollar being higher interest rates, which will start to drop off in the new year (provided inflation doesn't spike too much). Once UK interest rates decrease, it will strengthen against the euro and remember it was only the beginning of the year when the exchange rate was £1.00/€1.50.

As for the UK joining the euro, thank God it hasn't otherwise it would have buggered up an economy that is not only inherently different to any other economy in Europe but has chugged along quite nicely outside the eurozone.

[Kmoppz]

Today has hit a new low...

1.387

What the best bet for the bottom mark before the upturn?

I reckon 1.35

Any pro's out there to give a better guess?

[tjtops]

just to cheer evryone up....travelex 'tourist' exchange rate is 1.33.....REALLY ouch!
And to prove I'm blonde ( )...if I pay for something here (in euros) with my English credit card, I'm paying less when it comes out as pounds ...right??? (makes a difference on any large amounts!)

[Campo Kenny]

It's a wonder how this record drop has not had much exposure in the media.

[Faire d'Income]

Today has hit a new low...

1.387

What the best bet for the bottom mark before the upturn?

I reckon 1.35

Any pro's out there to give a better guess?

I'm far from a pro but I'd wait at least until the Eurozone interest rates are adjusted, probably downwards, in December given the amount of speculative/hedged activity in the money markets at present.

[blondie]

In English please!

[Faire d'Income]

In English please!

Are you talking to me?

[El Cid]

And to prove I'm blonde ( )...if I pay for something here (in euros) with my English credit card, I'm paying less when it comes out as pounds ...right??? (makes a difference on any large amounts!)

Quite the opposite I'm afraid.

If you spent 100 euros when it was at 1.45 it would have resulted in a charge of £69. The same transaction at 1.35 would now cost you £74.

Maybe it's different for blondes!

Sid

[tjtops]

Maybe you're right Sid, it's no good...I just can;t get my head round this every time I think I've sussed it, someone throws me a curved ball
So in a nutshell then, is there ANYTHING good at all about the rate being so low....???

[laclotte]

Yes - buy other currencies with your Euros!

[tjtops]

that's all very well if you actually HAVE any euros to spare!!

[Pigeon Tim]

Well you could always open a spread betting account and buy some on margin and then look up gamblers anonymous in the directory.

[blondie]

hey Faire Díncome, yep that was for you, what did you mean ?