The pound has improved against the euro with today’s exchange rate figures increasing from £1.133 to £1.136.
It follows on from disappointing results yesterday following the suggestion of an increase in UK interest rates which would negatively affect homeowners.
The latest Brexit news has suggested that the UK could join an alternative customs union with EU to retain the power of the single market.
Despite concerns, the pound has remained strong by improving with today’s rates.
The pound has improved against the euro with today’s exchange rate figures increasing from £1.133 to £1.136.
It follows on from disappointing results yesterday following the suggestion of an increase in UK interest rates which would negatively affect homeowners.
The latest Brexit news has suggested that the UK could join an alternative customs union with EU to retain the power of the single market.
Despite concerns, the pound has remained strong by improving with today’s rates.
Yet health secretary Jeremy Hunt told BBC Radio 4’s Today programme, when asked if the government could come round to a customers union with the EU: “No.”
Laura Parsons, currency analyst at TorFX explained the movement of the pound: “Concerns that the UK will leave the customs union post-Brexit weighed on the pound on Tuesday, but GBP/EUR managed to hold above €1.135 as the euro experienced problems of its own.
“Demand for the single currency declined after Germany’s latest inflation figures showed a more significant easing in consumer price pressures than forecast.
“The result upped the odds of the European Central Bank (ECB) maintaining a loose approach to monetary policy for the foreseeable future and left the euro weaker.
Ms Parsons explained how Eurozone data later today could affect the pound against the euro tomorrow.
She said: “If today’s Eurozone inflation figures also disappoint the GBP/EUR exchange rate could creep higher in the hours ahead.
“That being said, the Eurozone is also publishing German consumer confidence and unemployment figures and French growth data.
“Positive results for these reports could limit the impact of a below-forecast inflation reading.”
