The pound to euro exchange rate soared to a one week high yesterday. The boost saw sterling “gain ground” for the second day in a row on the euro, experts have said. However, despite the improvement, the exchange rate is likely to remain rangebound today.
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Investors’ eyes are more likely to be focussed on the post-Brexit trade talks tomorrow.
The pound is currently trading at 1.1093 against the euro, according to Bloomberg at the time of writing.
Michael Brown, currency expert at international payments and foreign exchange firm Caxton FX, spoke to Express.co.uk regarding the latest exchange rate figures this morning.
“Sterling gained ground for a second straight day against the euro yesterday,” he said.
“It hit a one-week high, as sterling rallied alongside equity markets amid a broad firming in risk appetite.
“Today, the pair should remain relatively rangebound.
“Investors are instead awaiting tomorrow’s conclusion of the latest round of post-Brexit trade talks for fresh impetus.”
Britons still do not know when they will be able to travel abroad.
Although domestic travel has been given the green lights from July 4, the government is being slow to reveal when foreign travel restrictions will be lifted.
As it stands, British holidaymakers are still advised against non-essential travel.
The government is expected to reveal a list of countries with which the UK is to establish ‘air bridges.’
These travel corridors would remove the need to quarantine on arrival back in the UK amid coronavirus.
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The first tranche of air bridges will be with European short-haul destinations, with some of the most popular summer holiday destinations included in the list.
It is speculated France, Spain, Italy and Germany will almost certainly be in partnership with the UK.
Yesterday, the European Union compiled a list of 14 countries deemed “safe” enough to enter as borders reopened.
While countries including Australia, Canada and New Zealand made it to the list, the UK was not one of the 14.
However, it’s not necessarily bad news for Britons.
According to Euro News, the UK is being considered as a member of the European Union until the end of the Brexit transition period on December 31, 2020.
To coincide with foreign travel being imminently back on the cards, a number of travel money providers are reopening services.
Post Office Travel Money opened for business this week.
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