As I told you in January, I just have updated my update to the foreign currency development against the Euro. The Euro gained traction against most other currencies during the first quarter of 2018. There might be many reasons for that, I just want to point out three of them. 1) Economy looks good in the Eurozone (mostly all over) 2) There is a sense of politial stability in Europe at the moment and last but not least 3) The guy in the USA is always good for spreading some uncertainty (which drives Investors out of the USD into different valuta).
Again I had a look on a 10 year period, I just rolled one quarter further. This means we are looking not at the period from March 31st 2008 to March 30th 2018 (March 31st 2018 was a Saturday, so the period closes on Friday 30th). There were some changes which you can clearly spot in below illustration. Please note that the comparison is beetween 10 year periods, this means we are comparing December 31st 2007 to December 30th 2017 with March 31st 2008 to March 30th 2018.
As you can see the Euro gained strength againgst Swiss Francs, British Pound, Georgian Lari and the Australian Dollar. It lost a little bit against the Polish Zloty and the Czech Krona during the period. As the Danish Krona is pegged to the Euro, there was no change. Graphically it looks like this:
Most impressive are the Euro movements against the Swiss Franc and British Pound. As the Franc lost, the pound gained (so now may be the time to go into the Euro, if you are a GBP Investor ;)). GBP Investments gained nearly 8 percent in the last three months against the Euro. This shows really nice, that currencies can easely fluctuate in double digits in several weeks. During crisis the fluctuations normally are bigger (look at the annual tables below). It is not bad to think twice before going into a foreign currency. It might pay off, or not, but you need some mental strenght at some point to hold through ;). If you decide to buy some foreign currency, you should look for low change fees (low spreads). Most of the time your bank will charge you more then some specialised companies would. Check out Transferwise, Currencyfair (40 Euro Bonus) or Revolut.
here the othere currencies in tabular form:
This was it with the pdate to the currencies. If you want to have added more currencies to the overview, drop me a line. I will gladly take them into consideration. The next update will follow in July. Last but not least, appologies for the silence during the past weeks… I had some technical difficulties.