Could The Pound Take On The Euro During January?
Posted by Allison on 15 February 2010, 10:53
The British pound always seems to have a rough time against the Euro. But with a brand New Year came the hope that we could possibly manage to rectify this and take on the Euro with new strength and determination.
The figure we went into the New Year with was 1.1259, so anything above that for starters would set us off in the right direction. But the immediate news was not good, with a slight slip on day one followed by a lower rate still of 1.1105 the very next day. Was this how the month was going to pan out, or was there more in store?
That first week did end up slightly better on 1.1193, so it gave us hope that perhaps we had simply got off to a poor start and we could move on from here and do better as the month of January went on.
But on the 11th January – a Monday – things seemed to get worse still because the exchange rate went down to 1.1124. If you were keeping up with all this on your currency converter you would probably start expecting even worse figures throughout the rest of the week.
But every day for the rest of the week we saw a different picture emerging. Not only did the pound manage to increase its value against the Euro every single day, it managed to achieve a new height of 1.1229 on the 14th. This was Thursday evening and there was more yet to come as well – the following day saw the pound end the week with a flourish and claim a rate of 1.1350.
So what would happen throughout the rest of the month? We were still only halfway through so although some celebrations were in order it was way too early to think about what could possibly happen by the time we reached the 31st.
But the following Monday saw a better figure of 1.1370 on the cards, followed by a new jump up to 1.1437 the very next day. If we thought this wasn’t sustainable we were proved wrong as we approached the midweek point – this was when we gained a rate of 1.1504 against the Euro.
We couldn’t quite hang on to that though and the week closed with the pound on a still respectable 1.1411. When the 25th saw the pound drop back further to 1.1398 though, we wondered whether we had peaked and seen the best the pound had to offer so far this month. Perhaps we would end up dropping back significantly and undoing all the good work we had done so far.
Those thoughts didn’t last long as the pound soared back to 1.1450 the following day and peaked on 1.1606 two days later. Even though the month ended on 1.1540, this was still a respectable increase and a successful month for the pound against the Euro in the end. Let’s hope we can build on it for the rest of the year too.