The Pound Sterling to Euro (GBP/EUR) and Pound Sterling to Swiss Franc (GBP/CHF) exchange rates have both risen tentatively today, ahead of vital discussions in Brussels between the PM and other EU leaders.
GBP/EUR, GBP/CHF Exchange Rate News: UK Referendum Talks Dominate Sterling’s Movement Today
Pound Sterling (GBP) has made gains of 0.2% against the Euro (GBP/EUR) and 0.3% against the Swiss Franc (GBP/CHF) today, in addition to greater gains of 0.5% against the Indian Rupee (GBP/INR) and 0.7% against the Russian Ruble (GBP/RUB). On the whole, the Pound has trended in a tight range due to the currently high levels of investor uncertainty.
This uncertainly has been brought to a head by the UK events of the day – David Cameron is due to meet with EU leaders and other relevant officials in an attempt to reach a universal agreement on the terms of the UK referendum, which will give the PM a green light to then set a vote date in the UK; if things go well, this could be announced as early as tomorrow.
Euro (EUR) and Swiss Franc (CHF) Fare Poorly Today
The Euro (EUR) has been a generally unappealing prospect today, having printed losses of -0.3% against the Japanese Yen (EUR/JPY) and the Polish Zloty (EUR/PLN) among other narrow losses.
The morning’s Eurozone data has been unimpressive, with French, Italian and Eurozone wide current account and inflation stats failing to provide solid ground for a Euro rally.
The Swiss Franc (CHF) has dropped off against the competition today, recording a loss of -0.2% against Pound Sterling (CHF/GBP) alongside additional poor performances.
In addition to the price of gold per 100 ounces falling to $1205.1 today, the Franc has also been softened by the recent ZEW survey of expectations for February falling from -3 points to -5.9.
GBP, EUR, CHF Exchange Rate Forecast: Brussels Decision, ECB’s Minutes Looming
The near future will bring both Eurozone and UK economic announcements, with the first being the European Central Bank (ECB) account of the Monetary Policy meeting, which is expected to reveal the thoughts of ECB officials regarding future policy and interest rate decisions.
While the exact timing is uncertain, the UK Referendum is sure to have an impact on the Pound in the near future. If Cameron can secure agreement from his fellow EU leaders, an announcement could be made tonight, but if the negotiations drag on overnight, it seems that deliberators may be releasing high-impact news at an ‘English Breakfast’ instead.
Current GBP, EUR, CHF Exchange Rates
The Pound Sterling to Euro (GBP/EUR) exchange rate was trending in the region of 1.2886, the Euro to Pound Sterling (EUR/GBP) exchange rate was trending in the region of 0.7760, the Pound Sterling to Swiss Franc (GBP/CHF) exchange rate was trending in the region of 1.4239, the Swiss Franc to Pound Sterling (CHF/GBP) exchange rate was trending in the region of 0.7028, the Euro to Swiss Franc (EUR/CHF) exchange rate was trending in the region of 1.1050 and the Swiss Franc to Euro (CHF/EUR) exchange rate was trending in the region of 0.9055 today.
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