CategoryENGLISH

Delays to Brexit talks unsettle pound Sterling

Staying on top of the latest currency news can help you time your transfers more effectively, so find out what you should be looking out for over the next couple of weeks…

Latest currency news

It’s been a volatile two weeks for the pound, with markets having plenty to react to. GBP/EUR struck a high of €1.1491, but quickly slumped again, reaching a low of €1.1297.

After GBP/USD hit a high of US$1.3453 the pairing swiftly dropped to a low of US$1.3306, although the exchange rate has now recovered much of its losses.

EUR/GBP slumped to £0.8763 after the latest European Central Bank (ECB) meeting, but quickly rebounded to a high of £0.8851. EUR/USD trended somewhat more calmly between a high of US$1.1847 and a low of US$1.1722.

What’s been happening?

There has been plenty on the economic, political and monetary fronts to keep the pound on volatile form these past couple of weeks.

The Bank of England (BoE) opted to keep interest rates frozen at 0.5%. While this was largely expected, the fact not one policymaker voted for another round of tightening showed the BoE was feeling very cautious about the economy indeed.

Markets didn’t have long to dwell on the monetary policy outlook, however, as there was plenty happening with regards to Brexit to keep Sterling volatile.

With the EU having set Friday 8th as the deadline for agreeing issues such as the Brexit divorce bill and the Irish border in order for the European Council to vote in favour of beginning trade negotiations.

It seemed that, after months of fretting over the divorce bill, it could have been the Irish border that derailed the Brexit timetable permanently.

The UK made some concessions, but these were swiftly blocked by Northern Ireland’s DUP, who Theresa May has to keep on side in order to hold a majority in Parliament.

Then, last Friday, the European Council agreed that sufficient progress had been made in talks and that discussions on trade could begin.

Sterling wasn’t happy, however, after many officials warned that this was going to be much harder than the initial phase of talks.

European Commission President Jean-Claude Juncker also soured appetite for the pound after stating that talks on trade wouldn’t start until around March.

After striking a six-month high on the 8th after the Irish border issues were resolved, GBP/EUR quickly tumbled and is now back around the levels seen a fortnight ago.

The euro had hit a one-week low after the latest European Central Bank (ECB) meeting, which gave no new details about when the quantitative easing programme may end.

Policymakers also kept their inflation projections sluggish, despite being upbeat about the Eurozone economy, suggesting monetary tightening is still a long way away.

GBP/USD spiked last week after the Federal Open Market Committee (FOMC) delivered the expected interest rate hike.

Markets had prepared for this, so the move created a good opportunity to sell USD, driving the price lower.

At the same time, the FOMC revised its growth and employment forecasts up – but left its inflation projections unchanged.

What do you need to look out for?

The pace of data and other developments scheduled over the coming days is starting to slow now as the Christmas break approaches, but there will still be some points of interest.

Trading may grow thinner as the days go by, but events such as a speech from BoE Governor Mark Carney on the 20th, US third-quarter GDP on the 21st and personal consumption expenditure figures on the 22nd will ensure things don’t get too calm.

Political developments are likely to cause friction as well. There could still be plenty of developments with regards to Brexit to unsettle the Pound, especially as the Cabinet is today beginning to discuss its aims for the second phase of negotiations.

US President Donald Trump is getting closer to being able to implement his tax reform plans; indications more progress is being made would support USD and weaken EUR.

At Currencies Direct we’re here to talk currency whenever you need us, so get in touch if you want to know more about the latest news or how it could impact your currency transfers.

Since 1996 we’ve helped more than 150,000 customers with their currency transfers, just pop into your local Currencies Direct branch or give us a call to find out more.

Pound climbs as UK begins to make progress in Brexit negotiations

Staying on top of the latest currency news can help you time your transfers more effectively, so find out what you should be looking out for over the next couple of weeks…

Latest currency news

Despite experiencing both peaks and troughs, the pound has been able to record gains overall versus the Euro and US dollar over the past fortnight. GBP/EUR hit a low of €1.1138 last week, but is now trending at a high of around €1.1417.

Meanwhile, GBP/USD exchange rates have risen from lows of €1.3516 to highs of €1.3548 just before the weekend.

EUR/GBP has fallen to a 20-week low of €0.8758 over the course of the last fortnight, while EUR/USD has been able to make and largely hold some modest gains and currently trends around US$1.1841.

What’s been happening?

Pound advances were hampered in mid-November by a series of gloomy economic developments.

Chancellor Philip Hammond delivered an uneventful budget on the 22nd, but the Office for Budget Responsibility (OBR) followed up by publishing some dire figures for productivity and wage growth.

Data later in the week showed that consumer confidence had plunged back to the low last seen immediately after the referendum.

However, Sterling was able to recover at the end of the week after Bank of England (BoE) member Silvana Tenreyro warned that markets had not considered the possibility Brexit may push interest rates higher rather than lower.

Things continued to improve last week, after it emerged that the UK government was likely to up the amount it was willing to pay for a Brexit divorce bill to around €50 billion.

Fears over the Irish border remained, however, but these have evaporated today after the UK government agreed to the EU’s terms for keeping the whole of Ireland under single market regulations to prevent the need for a hard customs border between Northern Ireland and Ireland.

Meanwhile, the euro has been hampered by some disappointing data figures, with Germany’s consumer confidence and inflation data softening the outlook for the Eurozone’s powerhouse economy.

EUR was dealt a significant blow on Friday when a study found that the euro had failed to deliver the benefits to the economies that had joined it, such as narrowing the extent to which their prosperity diverged.

Although the US dollar muddled along over the past two weeks on the back of sky-high interest rate hike bets, there were several turbulent moments.

GDP data last Wednesday showed a better-than-expected rate of growth, while today the US dollar is on strong form after the weekend saw the Senate finally approved a bill for tax reform.

What do you need to look out for?

Tomorrow’s UK services PMI will be a big release, given that it chronicles activity in the sector responsible for over 75% of economic growth.

After that, markets will have to wait until Friday for the next notable UK releases, with a slew of industrial, manufacturing and construction data accompanied by trade figures and followed by a GDP estimate.

The middle of next week is likely to see severe turbulence on the markets, thanks to the clustering of interest rate meetings and decisions from central banks.

The US Federal Open Market Committee (FOMC) announces its latest decisions on monetary policy on Wednesday 13th, with the Bank of England (BoE) and European Central Bank (ECB) both publishing their latest policy conclusions on Thursday 14th.

GBP/EUR and GBP/USD will therefore being under notable pressure throughout the week, and that’s without even taking into consideration the likelihood of more news from the Brexit talks and US tax reform.

At Currencies Direct we’re here to talk currency whenever you need us, so get in touch if you want to know more about the latest news or how it could impact your currency transfers.

Since 1996 we’ve helped more than 150,000 customers with their currency transfers, just pop into your local Currencies Direct branch or give us a call to find out more.currencies direct 2

Simplify your currency transfers

Whatever your reason for needing to move money abroad, from funding a move overseas to splashing out on a luxury item, you can make the process simpler and more cost effective with the right support.

That’s where we come in.

Who do we think we are?

We’re Currencies Direct, and we’ve been making currency transfers simple since 1996.

Over the years we’ve helped more than 150,000 people save time and money by offering bank-beating exchange rates, fee-free transfers and a range of services and tools that can be tailored to suit individual requirements.

We have 21 branches worldwide, and our expert team are always on hand to offer support and guidance if you want it. And if you just want to move money quickly, you can arrange currency transfers in a couple of clicks online or with our handy app.

Who can we help?

We’re here to help private individuals move money when emigrating, buying foreign property, repatriating funds, working abroad, retiring overseas, paying a foreign mortgage and buying luxury goods.

We also help businesses protect their profit and budget effectively when making import/export payments, investing overseas, and repatriating earnings.

In fact, whatever your currency requirement, we can help!

How do we help?

We don’t see any reason why moving currency from A to B should be complicated, so we make sure transfers are flexible, seamless and swift.

Some of the key benefits of using our services include:

  • Access to bank-beating exchange rates
  • Fee-free currency transfers
  • Expert insight and support
  • 24/7 transfers

What service is right for you?

No two currency transfers are the same, so we provide a range of currency transfer services to suit your individual needs. Here are just some of the ones you might be interested in…

Spot contract: A quick, easy way to move money at the current exchange rate

Forward contract: With a forward contract you can fix an exchange rate for up to a year ahead of needing to make a transfer

Regular payments: The perfect way of automating regular currency transfers, fee-free

Anything else you need to know?

Fund security is a serious business, so we take it seriously.

Meet The Team: Emilio Garcia Goldsmith

How long have you been running the Inmobiliaria Acapulco?

5 years being the manager of Inmobiliaria Acapulco and 10 years in comercial sales.

  Continue reading

Summer of sadness for the pound, good news for EUR/GBP transfers

The pound certainly hasn’t spent the last few months kicking back in a sun lounger with a Mr Whippy. In fact, summer was a bit of a washout for Sterling, with the British currency receiving a pretty good kicking all round.

Speculation that the Bank of England (BoE) will hold off increasing interest rates for the foreseeable future was heightened by a couple of disappointing UK inflation reports, and without the prospect of higher borrowing costs to lend it support (and with Brexit negotiations dragging on) the pound really struggled to hold its own.

Between June and mid-August the GBP/EUR exchange rate tumbled from highs of €1.15 to lows of €1.09, with that 6 cent drop making a significant difference to people sending money to Europe from the UK.

However, in the same period the EUR/GBP exchange rate strengthened from £0.86 to £0.91. If you needed to transfer €20,000 back to the UK from Spain, for example, this movement would have seen you net an extra £1000.

While the euro spent the second quarter of the year trouncing the pound, the currency market is notoriously volatile and the situation could change considerably before 2017 draws to a close.

If you’ve got currency transfers to manage and are worried about the impact of potential market movements, there are a couple of things you can do to make sure you get the most for your money.

  1. Follow the latest currency news

Exchange rates are always moving, but most people don’t have the time (or the inclination!) to keep half an eye on them day to day. However, leading currency transfer providers like Currencies Direct will send free exchange rate updates straight to your inbox, giving you the information you need to move your money at the right time.

  1. Avoid transfer fees

If you currently use your bank to transfer money to and from Spain, you’re probably paying unnecessary transfer fees. Providers like Currencies Direct will move your money for free, so you’ll make immediate savings.

  1. Look into your transfer options

There are loads of different reasons why people need to make currency transfers, and with so many varied requirements it makes sense that there should be a number of different ways of moving money abroad. Currencies Direct offer a range of transfer products that can be tailored to suit your individual needs, from fixing an exchange rate for up to a year ahead of making the transfer to setting up regular overseas payments. Picking the right option for you could help you save time and money, so it pays to find out more about the different services available.

 

 

HISTORY OF FUENGIROLA

The history of Fuengirola dates back to Phoenician, Carthaginian, Roman and Arabic times. Historical reference was made of the town during the 2nd century B.C.

Roman remains have been found which include sculptures, one of which is the well known so-called ‘Venus of Fuengirola’, which is now an exhibit in the History Museum – Museo de Historia. In the vicinity of the castle, remains of the Roman town of Seul have been found, as well as a meat salting factory from the same time.

Continue reading

CELEBRATE OUR 54TH ANNIVERSARY!

aniversario

Mark the next February 27 on your calendar! At Inmobiliaria Acapulco, this time we are going to throw the house out the window instead of selling it, to share with our friends a time of joy, food, drink and good atmosphere.

The celebration will take place in our office, Avenue Aacpulco nº2, from 13:00 h. Do not hesitate and come to enjoy a relaxed time to celebrate that for 54 years, we have been  making people happy with keys to houses, flats, villas … that they turn into homes.

HAPPY HOLYDAYS

In these times that we live in, more and more importance are given to some dates in which we leave a little of thinking about ourselves, to look beyond and to stand in solidarity with others; dates in which we leave behind the rancor and pride, making it easier to forgive and ask for forgiveness; dates in which dreams, forgotten or buried under the harsh reality, come back to seem possible and to be within reach of the hand; dates when it’s easier to smile.

Real estate Acapulco invites you to smile with us and wish you…

¡¡¡MERRY CHRISTMAS!!!

How to get the best exchange rate when you buy Fuengirola property

Are you thinking of buying a property in Fuengirola in 2016? If so, whether you’ve got your eye on 3-bedroom flat with a swimming pool in Torreblanca for €287,000, or a 2-bedroom apartment with a swimming pool in Fuengirola for €210,000, you’ll want the best exchange rate, to get the most euros when you transfer money to Spain. With this in mind, here are 5 easy tips to get the most euros!

 

  1. Set up a forward contract to protect against exchange rate volatility.

It’s possible that the exchange rate may be volatile in the coming months, given the UK’s recent vote for Brexit. To protect against this volatility when you buy a Fuengirola property, set up what’s called a “forward contract”. This fixes your exchange rate, so that even if sterling weakens later on, you get the rate you’ve locked in. So, this gives you peace of mind when you transfer your money!

 

  1. Get an exchange rate up to 4% better than your bank with a currency broker.

Use a currency broker instead of your high street bank, to receive the highest euro total in your Spanish bank account, when you buy a Fuengirola property. This is because currency brokers are foreign exchange specialists, who’ll obtain an exchange rate up to 4% better for you. When you transfer a large sum, this means you’ll receive thousands of euros extra, to buy your dream Fuengirola property!

 

  1. Use a currency broker that’s directly authorised by the UK’s Financial Conduct Authority.

This is because, if the currency broker is “directly authorised”, your money will be safe and secure when you transfer it to Spain. By contrast, many financial services are merely “regulated” by the FCA. This isn’t enough, because it doesn’t offer you the same protection when you transfer your money. So, when you buy your Fuengirola property, use a currency dealer that’s “directly authorised”!

 

  1. Begin looking at the exchange rate sooner rather than later.

This is because, the earlier you start looking at the exchange rate, the bigger the window you give yourself for a good exchange rate to become available. By contrast, if you wait until the last minute to transfer your money to Spain, to buy a Fuengirola property, you may be forced to accept whatever exchange rate is available, even if it’s not great! So, to get the most euros, be like the early bird.

 

  1. Keep an eye on the exchange rate, using Google.

To find out when the best exchange rate becomes available, you don’t need to use financial tools or to study graphs. Instead, you can just use Google. Type “pound to euro” into the search engine, and Google will return the current exchange rate back to you, there and then. So, you can find out if the exchange rate is strengthening, and if it’s the right time to buy your Fuengirola property!

 

With these tips in mind, you’ll get the best exchange rate when you buy a property in Fuengirola. Enjoy it!

_MG_8822

By Peter Lavelle at foreign exchange broker Pure FX http://www.purefx.co.uk

Mr Garcia Moreno

I met Emilio Garcia Moreno of Inmobiliaria Acapulco some time during the 70’s and I was shown around the apartment blocks he was building on the Paseo Maritimo de Fuengirola. Different building methods to those I knew in Europe but all according to the new earthquake regulations.

His honesty was something that attracted my attention which continues today. The Inmobiliaria Acapulco celebrated a couple of years ago their 50th anniversay and is now run by the third family generation. I have seen many estate agencies come and go during the years I have known the office, yet not many have worked through the good and the bad, the highs and lows of the profession  and can say they (if they want to) will be around for another 50th years.

So yes I can recommend their profesionalism, contacts (which comes through years) and visions of the future.

 

Paula Voss.