Will the euro bounce back into action?

The euro had another quiet day, with no real movement seen in the single currency, as data releases were thin on the ground. As has been the trend recently, the only real euro movement was dictated by sterling strengthening on the back of a positive growth figures. This lull in euro strength was short-lived, however, and markets quickly corrected themselves to the familiar range we have seen for the most of this week. German import prices decreased, which made small dents to currency levels.

Thursday sees a busier day in the markets. With the German Consumer Price Index (CPI) expected to increase and German unemployment expected to contract, we could see the euro bounce back somewhat from an otherwise uneventful week.

The focus, however, is on any movement on monetary policy within the UK. All eyes are still fixed on the Bank of England’s approach towards adding stimulus into the UK economy and such a move could be pivotal in the euro gaining significantly against sterling.

If you are looking to buy or sell euros, we suggest contacting your trader now for live rates, news and currency purchasing strategies.