The pound to euro exchange rate is tipped for yet another slump to end a torrid week which saw GBP reach lows never experienced since 2000. Sterling has fallen for nine consecutive days, courtesy of lack of faith in Brexit negotiations, and experts speculate today will not see a twist in fortune. The pound is currently trading at 1.144 against the euro, according to Bloomberg, at the time of writing. Currency expert Michael Brown, at Caxton FX, spoke to Express.co.uk about his views on the end of the dismal trading week.
He said: “Sterling extended its recent declines against the euro for a ninth consecutive day on Thursday, equalling the pound’s worst run since December 2000.
“The pound’s slide continued as the continued political uncertainty, together with a risk averse market, dented sterling’s attraction.
“Markets are also now on alert for the prospect of a hard Brexiteer in Number 10, with confirmation that the Prime Minister will meet backbench MPs after June’s vote on the Withdrawal Agreement to agree a handover to a new leader.
“Friday sees little in the way of economic data from the UK, though markets will chew over final CPI figures for April from the eurozone.
“The single currency is unlikely to be impacted by this data unless it differs significantly from the previously released flash estimate, with the direction of travel for the pairing set to continue being dominated by geopolitical developments.”
Michael has previously stated: “With the impasse showing little sign of being broken, along with a lack of major economic releases from either side of the pairing today, the pound may struggle to find significant support.”
Previously, talks of a no deal Brexit have sent the pound to euro exchange rate on a downward spiral.
Meanwhile, when support for a deal has occurred, its figures have stabilised somewhat.
It remains to be seen whether Brexit announcements will be made today to further impact the rate on the last week of trading.
Yet travellers looking ahead to the Bank Holiday weekend, especially those who have booked a mini break to Europe for the three-day period, may well be disheartened.