Pound to euro exchange rate: Sterling makes further 'GAINS' after bank holiday weekend
POUND to euro exchange rate: Sterling has continued to rise following the bank holiday weekend, making gains on the euro as well as other major currencies. However, it may possibly fall ahead of a Bank of England decision on a potential rate rise later this week.
The Bank of England explains the exchange rate
The pound to euro exchange rate favoured the sterling currency today, Wednesday 9 May.
Pound sterling converted to €1.1424, according to Bloomberg figures at 7:45am.
This is a rise compared to yesterday’s rate of €1.138 to the pound.
The pound has strengthened following a three day bank holiday weekend for the country.
This represents an upwards trajectory since the end of last week, when the pound stood at €1.133.
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The pound to euro exchange has fallen in favour of the sterling currency today
TorFX currency analyst Laura Parsons said the pound had actually made “gains” on a number of major currencies.
She said: “We might have been suffering from the back-to-work blues after the bank holiday weekend, but the pound certainly wasn’t.
“The British currency managed to wrack up modest gains against a number of the majors on Tuesday.
However, it is not all good news for the Sterling currency this week.
Laura said that industrial production data from Germany has limited sterling’s rise.
She said: “Although upbeat German industrial production data stopped GBP/EUR climbing too high.”
What’s more, there may be future instability for the pound ahead of a Bank of England rate decision expected later this week.
“This morning’s UK like-for-like sales data revealed a significant slump in spending, but GBP/EUR remains in the region of €1.142.
“With the Bank of England rate decision looming, Sterling may find itself a little unsteady in the hours ahead.”
Yesterday, Laura told Express.co.uk how the pound has moved over the bank holiday weekend.
She explained: “A succession of poor UK data gave the pound a beating last week, with the GBP/EUR exchange rate ultimately entering the long bank holiday weekend trading on the cusp of €1.130."
Laura also revealed how the Pound Sterling could improve later this week.
She wrote: “Sterling may struggle to recover strength over the next couple of days amid bets that the Bank of England (BoE) will refrain from adjusting interest rates this week.”
But how can holidaymakers ensure they are getting the most for their travel money?
Avoiding the airport is one easy step, with new research revealing just how low the lending rate.
At some UK airports, travellers would get just €0.90 for the pound, over 20 per cent worse than the market rate.
