The coronavirus pandemic has replaced Brexit in the headlines for 2020 which is favourable for GBP.
GBP will rise to 1.20 per euro according to Standard Bank. The coronavirus pandemic means that the deadline for a trade deal this year could either be pushed back, delaying a risk for the currency, or see more favorable terms given to the U.K.
The GBP to EUR exchange rate jumped to 1.19 in early February when Mark Carney – in his final press conference as Governor of the BoE – stated: “The UK economic performance has not been so far so good, but so far good enough. Although the global economy looks to be recovering, caution is warranted” and “Evidence of a pick-up in growth is not yet widespread.”
You can read more about GBP cross-rate forecasts here GBP Trends and Forecasts for 2020.
Note that forecasts and predictions for the GBP/EUR exchange rate change all the time, affected by news events and relative sentiment towards the UK and Eurozone economies and this exchange rate is even more volatile than usual because of the uncertainties around Brexit.
This is a difficult question and the answer really depends on many factors. The best way to consider an exchange rate's relative value is to look at the rate's history.
The following table looks at the change in the GBP to EUR exchange rate to the present day for periods going back upto 10 years:
|GBP/EUR||Period to 29-May||Date||Rate|
|0.4% ▼||1 Week||22 May 2020||1.1161|
|3% ▼||30 Days||29 Apr 2020||1.1464|
|4.4% ▼||90 Days||29 Feb 2020||1.1627|
|1.8% ▼||1 Year||30 May 2019||1.1327|
|20.2% ▼||5 Years||31 May 2015||1.3928|
|7% ▼||10 Years||01 Jun 2010||1.1958|
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