Pound to Euro Exchange Rate ? GBP EUR Gaps Higher Ahead Eurozone Finance Ministers? Meeting

Modified: Monday, 23 January 2012 11:20 BST - Written by John Cameron

STORY LINK Pound to Euro Exchange Rate ? GBP EUR Gaps Higher Ahead Eurozone Finance Ministers? Meeting

The Pound Euro exchange rate (GBP EUR) is 1.1981. The Pound Dollar exchange rate (GBP USD) is 1.5562. The Pound Australian Dollar exchange rate (GBP AUD) is 1.4760.

Market focus returned to the Europe’s ongoing debt crisis, at the start of this week’s session in the currency markets, with Eurozone finance ministers preparing to meet in Brussels later today. One topic is likely to dominate proceedings – Greece’s ongoing debt woes.

Analysts are suggesting that Greece’s creditors are likely to be asked to take a ‘haircut’ on the debt which they are owed as part of a second bail-out package for the troubled Hellenic state. Reports suggest that a 50% haircut has been agreed in principal, however negotiations with the Institute of International Finance, (IIF), who represent the creditors continues. Rumours last week suggested that three hedge funds which, to which Greece is indebted, are holding out for a higher percentage settlement.

Investors’ concerns about the Eurozone’s ongoing debt problems saw sentiment towards Eruope’s single currency ebb during this weekend’s 48hr market close. This lead to the GBP EUR chart price-gapping upwards from Friday’s close of 1.2044 to open at 1.2075 when the currency markets re-opened last night, with the first Asian session of the week. The gap was rapidly closed, but such a gap suggests that investors are not confident in holding Euro-denominated assets in the current climate.

Elsewhere, today sees a relatively light day for data releases, with Canada’s Leading Indicators figure for November providing a point of interest this afternoon. Investors holding CAD-denominated assets will be looking for an improvement on October’s 0.6% reading to help the Canadian Dollar maintain its recovery of recent months against the majority of the other majors.


For Pound to Euro money transfers, other live currency exchange rates and a currency converter see the currency news website.

International Money Transfer? Ask our resident FX expert a money transfer question or try John's new, free, no-obligation personal service! ,where he helps every step of the way, ensuring you get the best exchange rates on your currency requirements.

TAGS: American Dollar Forecasts Canadian Dollar Forecasts Daily Currency U Forecasts