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The last 3 weeks or so has seen the pound trade against the euro eadrom lows of 1.129 to a high of 1.1650 which has quite an impact on any money you transfer. Pretty good news though if you are sending your money back to the UK . The recent change in rates means that if you are transferring a £1000 insteadof getting around 1150 euros you will probably receive today around 1120 euros, it doesnt sound a great deal but multiply by 12 and all of a sudden you have lost at least 360 euros per year.
Now why is is happening?
You have no doubt read quite a bit about all the problems in the Eurozone, not least recently with Portugal having to go cap in hand to the ECB and IMF for a bailout and the rumour mill still persists that Spain will follow. Nobody is too sure if this will happen, what we do know is that Spain certainly is trying to manage its economy in a far stronger way than Portugal had been. It has introduced a string of measures to tackle the problem by increasing taxes etc and it hopes to avoid non repayment of its debt.
-The interesting time will come at the end of ths month when its due to pay back interest on funds raised earlier.
Whilst much has been said about the eurozone the UK has unfortunately been creaking a little and ocassionally this goes unnoticed by the general public although a quick look at the rates of exchange will confirm all is not right in the UK.
Consumer confidence is low, retailers have been issuing various profit warnings and just recently have announced the lowest March retail figures for a considerable time. Manufacturing sector is also showing concerns due to the increase in raw material costs. Add this to the poor housing sector with an insufficient number of new mortgage applications and you start to answer, why the pound is performing so poorly.
Generally people in the UK are attempting to pay off their debt as they are concerned about the possibilty of interest rate hikes and the impact on their pockets, they are paying off debt rather than incurring it . Of late eyes have also been focussed on the UK banking sector as the Independent Commission will soon publish its report on the Banking sector. The aim will be to ensure the British taxpayer will not have to bail out the banks in the event of another crisis. One of the views is that It appears the banks will have to ring fence customer savings and deposits from any high risk future investments. Further far reaching proposals will be included so keep your eyes open for the publication of this report.
With the recent interest rate hike in the Eurozone and the concerns in America it is clear that investors have an appetite for the euro hence the additional reason for its strength as it at the moment the favoured currency. Against the dollar it has recorded recent highs of 1.4490 and the probabilty of going beyond this figure is not that far away.
As with all things the market can change quickly so if you don't need to change your money now then it may just be worth the wait. Are you a gambler?
If you need any advice on when to transfer your money to the Canary Islands please contact our preferred partner Moneycorp on 951 319 700 and mention Goldacre Estates of Fuerteventura
http://www.buyin-fuerteventra.com Labels: buy in, buyin fuerteventura, fuerteventura, goldacre estates, moneycorp
A dance and theater under the title "Lights of Silence" will be held at the Auditorium Island, in Puerto del Rosario, Fuerteventura on Thursday October 28th at 21:00. The show is directed by Joseph Smith and Carlos Belda. The 10 Euro tickets are now on sale at the Centro de Arte Juan Ismael, or two hours before the show at the box office. The show is about an actor, a dancer and a muscian who have special interest in new technologies. Stars Jep Melendez, German G Arias and Carlos Belda. http://www.buyin-fuerteventura.comLabels: buy in, buyin fuerteventura, canary island, fuerteventura, puerto del rosario
 Beds : 3 Baths: 2
Built : 217 m2
Price :333,000 Euros Detached triplex luxury villa right in the heart of Corralejo in a quiet cul-de-sac just a short walk to the beach. This private residence has its own swimming pool with multiple terraces, a large basement, private car parking and secure gating.  
ID -1103306828
Labels: buy in, buyin fuerteventura, canaries, corralejo, fuerteventura, fuerteventura property, property, spain, spanish real estate
Beds : 3 Baths: 2
Built : 180 m2 Plot : 1900 m2
Price : 295,000 Euros This beautiful villa occupies a quiet cul de sac position in the tranquil countryside of Villaverde in Fuerteventura. Sold unfurnished, this detached 3 bedroom single floor property has a private swimming pool with jacuzzi and mature gardens throughout the large plot. Villaverde is just a few minutes drive from Corralejo and its wonderful beaches and many shops, restaurants and bars can be found in the village. ID.: -1103765221 Labels: buy in, buyin fuerteventura, canaries, canary island, corralejo, fuerteventura, property, property for sale in fuerteventura, spain, spain real estate, villa for sale, villaverde
 Beds : 3 Baths: 3
Built : 173 m2 Plot : 1100 m2
Price : 227,500 Euros
Fabulous villa with an extra studio upstairs and a small guest house. Lovely mature gardens and beautiful views to tindaya mountain. This is a fantastic opportunity at a great price to live in the tranquil village of Tindaya in the Municipality of La Oliva. The fabulous beaches of Corralejo and El Cotillo are just a short drive away. Labels: buy in, buyin fuerteventura, canaries, canary island, fuerteventura villa, la oliva, property, property in spain, spain, spanish real estate, tindaya
The low-cost airline Ryanair has announced two new routes from Luton and Edinburgh to Fuerteventura. The routes will start operating twice a week from November. These flights are in addition to the 25 other routes RyanAir already operates to Fuerteventura in the Canary Islands. The new flights will mean an additional 756 seats will be available. http://www.ryanair.com/en Labels: buy in, canary island flights, fuerteventura, low cost flights fuerteventura, ryanair
* Euro edges up but outlook still grim * Euro hits lifetime low vs Swiss franc * Investors stay jittery over euro zone debt crisis impact * Sterling slips on Fitch's UK debt warning (Updates prices, adds comment, detail, changes byline, dateline) By Steven C. Johnson NEW YORK, June 8 (Reuters) - The euro edged up on Tuesday, as investors booked profits a day after the currency hit its lowest level against the dollar since early 2006, and the pound fell after a ratings agency urged Britain to cut its deficit. Euro gains were slight, though, and analysts said the market remained anxious about debt levels in several euro zone countries. With Portugal, Italy and Spain set to sell new bonds this week -- the first sale for Spain since its credit ratings downgrade -- investors were still wary of overexposure to the euro, keeping the currency capped below $1.20. "The euro decline isn't over," said Marc Chandler, senior strategist at Brown Brothers Harriman in New York. "There are supply concerns this week, and what we're seeing now is a brief respite. A rise above $1.20 would be a good chance to sell." The euro was last up 0.2 percent at $1.1930 EUR=, above a session low around $1.19 and Monday's trough of $1.1876, its lowest level against the dollar since March 2006. Analysts said the euro gained some support after euro zone ministers made final arrangements on Monday to set up funds for countries facing debt servicing problems. Some market participants said euro/dollar may be hemmed in by options expiring at 10 a.m. (1400 GMT). "There are a big euro expiries at $1.1900, $1.1950 and $1.2000, which could keep it in a range today," said a London based sales-trader. SWISSIE RISES, STERLING FALLS The euro also skidded to a lifetime low beneath 1.38 Swiss francs EURCHF= and dipped briefly below 109 yen before rebounding to 109.21 yen EURJPY=, up 0.3 percent. European shares .FTEU3 also slipped. Switzerland's central bank has been intervening in currency markets since early 2009 to prevent excess franc strength but appears to have pulled back in recent days. Data Tuesday showed it's foreign exchange reserves soared in May. Sterling fell 0.5 percent to $1.4402 GBP=D4 after Fitch Ratings said the UK was facing a "formidable" fiscal challenge and said Britain's public debt ratio had climbed more quickly than those of other top-rated sovereign credits. [ID:nWLA5820] "It's more of the contagion fear that's been gripping markets for months now," said John Doyle, strategist at Tempus Consulting in Washington. "Fitch's comments on the UK deficit are important." The dollar rose 0.1 percent to 91.461 yen JPY= as new Japanese Prime Minister Naoto Kan chose a fiscal conservative as his finance minister. Kan has in the past advocated for a weaker yen to help Japanese exports and fight deflation, but Chandler said that might be wishful thinking as long as the world is in crisis mode. During times of risk aversion, the yen tends to rise as investors exit positions in riskier currencies and assets. Appetite for risk remained decidedly weak across markets, particularly in Europe, where analysts noted that bond yield spreads widened between benchmark German bunds and other sovereign debt, including that of Spain and France. Strategists at Citigroup said a 200-basis-point gap between Spanish and German 10-year bonds and a close Monday in the CBOE Volatility Index .VIX above a key technical level suggest an "anti-risk environment in the days ahead," which pressure the euro and boost U.S. Treasury yields. (Additional reporting by Naomi Tajitsu in London; Editing by Padraic Cassidy) Labels: buy in, buyin fuerteventura, canaries, canary islands, currency, dollar, euro, overseas property, sterling
Poor bank rates and high charges for foreign exchange transactions mean individuals need to be savvier when transferring money overseas. Research by Moneycorp reveals that Brits are potentially losing over £101m a year by not shopping around for the best deals when transferring money abroad. Furthermore, uncompetitive exchange rates and high bank charges are costing individuals a lot of money, despite a concerted effort by most to reduce their outgoings on luxury and even staple items. Head of Personal Clients at Moneycorp David Kerns, comments: “While many individuals are visiting comparison websites more frequently, checking voucher code sites and consulting online consumer forums before purchasing goods in order to save money, this mindset doesn’t seem to have extended to foreign exchange. As a result, individuals are missing out on a very large sum of money they could be saving, by transferring funds overseas through a foreign exchange specialist rather than a bank. Not surprisingly, high street banks are cashing in as a result of this surprisingly apathetic approach.” People who own additional properties abroad and make regular mortgage and/or utilities payments will also be badly affected, as every transfer is open to individual transfer charges, in addition to exchange rates. People buying or selling property overseas and people emigrating or repatriating will be particularly affected, though this issue will affect all Brits who are transferring money overseas. Data from the UK’s number one property website, Rightmove Overseas, reveals that the average house price in the Costa del Sol in Spain is currently €369,860.68. With a deposit of 10% (€36,986), using a high street bank rather than Moneycorp would cost an individual, on average, an extra £558 on their deposit alone. An individual who wants to transfer a lump sum of £100,000 to an account in Europe would lose out on an average of €1,690 by using their bank for the transfer into euros. David Kerns concludes: “Despite the UK coming out of recession recently, individuals shouldn’t be lining the pockets of their bank managers and it’s in their best interest to maximise their investments. Prior to making any overseas payments, we always advocate that people shop around to get the best rates possible.” Labels: bankrates, buy in, buyin fuerteventura, currency, fuerteventura, money transfers, moneycorp
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