Description:

Sterling hovers around 1,20 euro mark

The markets were quiet at the beginning of the week, as US enjoyed the Labor Day holiday.

Disappointing results from UK manufacturing and construction weakened sterling last week for a short while, taking it below 1.20 euros for the first time for a few weeks, although it recovered to 1,20 as news came in from the eurozone.

Glum news from Europe indicated that banks had underestimated their exposure to sovereign debt during the Central European Bank stress tests. This has resulted in additional downward pressure on the Euro (with a knock on effect for Australian and NZ dollar). German Banking association estimates their 10 biggest banks will need extra funding to the tune of 105 Bn euros.

Lots of data due out this week; main ones are German factory orders for July, but also the UK Industrial production figures, which is expected to show an upturn, and may strengthen the pound further. The Bank of England announces its Interest Rate decision on Thursday 9 September.

Are you needing to move money overseas? Whether for a one off purchase such as property or car, or for regular payments such as pension, mortgage or school fees, we can do this for you, swiftly and securely. There are NO fees for our service, and you will save around 4% against the High St banks. Call us for a no obligation chat!

We also provide our service to business clients – we make paying your overseas suppliers very simple, at attractive exchange rates - and save you those bank fees too.

First Rate FX offers preferential rates to all readers of Guide2Normandy. Quote Reference G2N

Contact us here  http://firstratefx.com/informationpack  for an information pack-

or call the currency traders on 0044 (0)207 038 8075. You can also speak to our representative in France on +33 (0)2 31 31 50 23.