Chancer Posted March 18, 2009 Share Posted March 18, 2009 When I left France two weeks ago the pound had recovered to around €1.15 and naively I hoped it would continue to do so.I was somewhat shocked when I checked to see that it closed at €1.05 today.I wonder whether there is indeed a physchological barrier at parity? It did appear to change direction last time when it reached €1.03, I hope it does so again if not I can predict lots of unpleasent newspaper headlines. Link to comment Share on other sites More sharing options...
Alan Zoff Posted March 18, 2009 Share Posted March 18, 2009 The predictions that the UK economy will take longest to recover won't have helped things. Link to comment Share on other sites More sharing options...
JMB Posted March 18, 2009 Share Posted March 18, 2009 Well the US dollar took a pounding tonight so that will provide some relief to the pound. In fact the pound is at a key level against the dollar and it looks to me like it's going to go up not down. Now you may wonder why I'm going on about the pound and the dollar and what does that have to do with the euro and the pound? And the answer is that the relationship between the pound and the euro has more to do with the relationship between the pound and the dollar and the euro and the dollar. To make things a bit more complicated the euro also rose significantly against the dollar today and so you may be thinking well that may not change the relative disparity between the euro and the pound - are you still with me? Now the very encouraging thing about this is that the euro and the pound rose against the dollar today. Which is much much more encouraging than the euro rising against the dollar and the pound not. The optimists among us may take this as light at the end of the tunnel. The pessimists might say this all about dollar weakness rather than pound and euro strength. Who knows what will happen next? Watch this space. Personally I'm encouraged. I was going to change my pounds into euros, now I'm considering leaving them where they are. Link to comment Share on other sites More sharing options...
just john Posted March 19, 2009 Share Posted March 19, 2009 Trouble is, the market is such an emotional roller coaster as well, not like Bird & Fortune, more like Big Chris (lock stock and two smoking Banks)[8-|] Link to comment Share on other sites More sharing options...
Clair Posted March 19, 2009 Share Posted March 19, 2009 It has been a refreshing change for us to be able to take advantage of the exchange rate to buy online in the UK.Mr Clair has purchased several expensive power tools which had been on his wish list for a while and which cost much less when bought in Sterling than in Euros.Tin hat on and ducking... Link to comment Share on other sites More sharing options...
cooperlola Posted March 19, 2009 Share Posted March 19, 2009 I've been telling all my French friends to check UK internet prices before making big purchases here. I too have saved loads by buying stuff on the net in sterling. Link to comment Share on other sites More sharing options...
Hillsider Posted March 20, 2009 Share Posted March 20, 2009 Clair...interesyed in buying uk goods online. I am in the process of purchasing a house in the Charente and as it is a maison secondaire, will have to be completely equipped. Noticed that many French goods are much more expensive than UK sourced, particularly electrical appliances eg 250 euros for a small fridge as opposed to £100. Do you or anyone else have any experience of buying larger goods online from UK source and having them shipped to France? Is the extra shipping cost worthwhile? Link to comment Share on other sites More sharing options...
baypond Posted March 20, 2009 Share Posted March 20, 2009 Not always the case John, GBP/USD fell from 2.0000 to 1.5000 and during that time GBPEUR traded in a fairly tight range 1.22/1.28. Since last October GBP/USD has traded between 1.4000/1.5000 but GBPEUR went to 1.0500 Link to comment Share on other sites More sharing options...
Clair Posted March 20, 2009 Share Posted March 20, 2009 [quote user="Hillsider"]Clair...interesyed in buying uk goods online. I am in the process of purchasing a house in the Charente and as it is a maison secondaire, will have to be completely equipped. Noticed that many French goods are much more expensive than UK sourced, particularly electrical appliances eg 250 euros for a small fridge as opposed to £100. Do you or anyone else have any experience of buying larger goods online from UK source and having them shipped to France? Is the extra shipping cost worthwhile?[/quote]I have no such experience. I would probably opt to buy all from one French local supplier and negotiate a hefty discount on the total purchase. That would reduce any potential problem about break-downs and guarantee in the future. Link to comment Share on other sites More sharing options...
PaulT Posted March 20, 2009 Share Posted March 20, 2009 [quote user="baypond"]Not always the case John, GBP/USD fell from 2.0000 to 1.5000 and during that time GBPEUR traded in a fairly tight range 1.22/1.28. Since last October GBP/USD has traded between 1.4000/1.5000 but GBPEUR went to 1.0500[/quote]Presume, subject to good exchange rates, that at times it could be beneficial to convert sterling to dollars then to euros and vice versa.Just a thought Link to comment Share on other sites More sharing options...
baypond Posted March 20, 2009 Share Posted March 20, 2009 Yes, I think you have to be very careful about shifting money via ccys where you have no end use. Because it then just becomes a gamble. Also, you need to be careful about the spreads you are paying on each conversion. Link to comment Share on other sites More sharing options...
JMB Posted March 20, 2009 Share Posted March 20, 2009 P2, Baypond is absolutely right. Keep your exchanges down to the bare minimum and it is also worth bearing in mind that you will probably get a better deal changing large amounts than small amounts. If you change currency from GBP to USD and then USD to EUR you will get ripped-off not once, but twice! Link to comment Share on other sites More sharing options...
JMB Posted March 20, 2009 Share Posted March 20, 2009 Baypond I have a formula for that GBP/USD and EUR/USD thing somewhere. I'll try and find it and post it. Link to comment Share on other sites More sharing options...
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