Euro vs Sterling at Lowest Level Since November 2008 - 14.5.2012

The British pound versus the single currency has been strengthening as the European uncertainty deepens. Currency traders have been favoring the pound as a safe refuge instead of the weakening Swiss franc. However the appreciated sterling is threatening efforts of the U.K’s Prime Minister David Cameron to improve economic conditions, since the appreciated currency may hurt exports and then GDP growth. David Cameron’s austerity measures include at least 80 billion pounds of spending cuts targeting to reduce the deficit.

The Euro versus the pound fell more than 4 per cent since January 12 and continues the downward movement. It opened today lower at 0.8027 level, gapping in the hourly chart before falling lower, at the moment is trading at the psychological level of 0.8000, the lowest since November 2008.The EURGBP trading is definitely interesting to watch struggling at critical levels