• About Us
  • Authors
  • Currency Charts
  • Live Exchange Rates
  • Contact Us

Exchange Rate Forecast

Exchange rate forecasts and foreign currency news

  • British Sterling
  • Euro
  • US Dollar
  • Australian Dollar
  • Canadian Dollar
  • Brexit News
You are here: Home / Euro / Eurozone performing well despite Brexit

Eurozone performing well despite Brexit

August 12, 2016 by Rob Lloyd

Eurozone performing well despite Brexit
  • German GDP figures far better than predicted
  • Eurozone GDP data show no signs of slowdown

gdp-descriptionAs yet, Brexit has had negligible impact on the Eurozone, this morning’s GDP figures for Germany and the Eurozone support this. Given German retail sales and industrial output, the general consensus was that German GDP data would fall sharply for the second quarter.

However estimates of 0.2% this morning were outperformed, a result of 0.4% whilst slower than Q1, provided fresh hopes for powerhouse of the EU in a post-Brexit environment. The big surprise for markets were the YOY GDP figures which doubled expectations.

The release was a good indicator of what was yet to come for the Eurozone GDP release at 10am, providing the markets with little evidence of economic slowdown.

Sterling under further pressure

With investors gauging the impact of Brexit on Both the UK and Eurozone, the news this morning could spell bad news for GBPEUR exchange rates. It would seem at first glance that the UK is struggling far more than the Eurozone since the historic vote, Sterling could be in for further losses in the days and weeks to come.

Next week explores another round of UK economic data which if trends follow, could see exchange rates fall below the 1.15 range, with the news following a fall in housing prices I am expecting both the rightmove and DCLG housing price indexes to show falls. But the PPI and consumer price figures could cause further stirs for the currency pair. Consumer price measures core inflation and whilst retail sales have been up for the month of July, business confidence has fallen sharply since Brexit which could translate to lower growth.

Euro buyers, your window of opportunity could be narrowing, buying now could save you from further losses next week.

Filed Under: Euro Tagged With: GBPEUR, Gross Domestic Product (GDP), Pound Sterling weakness

The information on this website is provided for information purposes only. It does not constitute advice to any person on any matter. Every reasonable effort is made to ensure that the information is accurate and complete but we assume no responsibility for and offer no warranty with regard to the same.

About Rob Lloyd

Robert brings with him a wealth of knowledge on what is impacting exchange rates, especially around the subject of the EU Referendum and the implications for Sterling and Euro exchange rates.

Recent Posts

  • Sterling finds support but unlikely to make any significant impact in the coming days May 9, 2018
  • US Dollar hits 5 month high against Sterling May 2, 2018
  • Sterling exchange rates at the mercy of political developments May 1, 2018
  • Pound weakens as political uncertainty once again raises its head May 1, 2018
  • Will Mario Draghi’s speech impact GBP/EUR? April 26, 2018

Live Exchange Rates

Archives




Copyright © 2021 — Currency.co.uk • All rights reserved. • Exchange Rate Forecasts • Privacy Policy •

We use cookies to ensure that we give you the best experience on our website. By using this site you agree to receiving cookies.I agreeRead Privacy Policy