Sterling Rallies

The pound has rallied this afternoon following on from a mixture of negative data from the euro-zone and positive key releases in the UK. Bad news tends to fall off of the euro rather quickly, quite like Teflon, so the gains seen over the last few hours may be short lived.

Talks about the UK referendum continue to remain in the air and don’t get anymore interesting the more you hear about it. If we leave the EU rates could plummet due to the uncertainty that would be caused…. and if there is one thing markets hate, it’s uncertainty.

On a positive note, if we were to stay within the EU, we would like to think that the rates would rise dramatically as the uncertainty would be removed from the air.

Afternoon market rates

GBPEUR 1.3100
GBPUSD 1.4615
EURUSD 1.1150