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Foreign Currency Exchange Specialists

Thursday, 3 March 2011

Eurozone interest rates "could rise next month"

Jean-Claude Trichet, the President of the European Central Bank, gave a clear indication today that Eurozone interest rates could go up as early as April, as the ECB kept rates at 1.0% at its March meeting.

Although fears over the costs of servicing debt in the likes of Portugal and Ireland may cause the Euro to weaken, overall if the Eurozone raise interest rates before the UK, analysts are convinced that the net effect will be positive for the Euro - and therefore negative for sterling.

If you are sending money to Europe in the foreseeable future, March might therefore provide some of the best opportunities to secure a rate for some time.

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