Euro is Getting Stronger

AdBlue could increase in price again if there is another sharp change in exchange rates against the Euro.

LONDON (Reuters) have reported that the GBP Sterling neared record lows versus the euro last Thursday, while stocks extended losses and gilts rose after the Bank of England cut rates by 25 basis points and expressed concern on the nation credit conditions.

The FTSE 100 index of Britain's leading shares extended losses, down almost 62 points, practically one percent on 5,922.3 after the Banks verdict. Having hit a record high at 80.29 earlier in the day, by 12:06 p.m the Euro was up one tenth of a percent on the day at 80.23 pence, whilst in reflection the pound gained slightly against the US dollar.

Interest rates are pushing implied rates and bond yields even lower as dealers made moves to price a more aggressive policy easing cycle from the Bank.
"They (Bank) haven't really done that much to address the shortage of liquidity, so that means that, even as they cut the official bank rate, those lower interest rates aren't getting passed on to consumers and other borrowers," said Chris Iggo, strategist at Axa Investment.
"They need to both keep cutting rates and try to improve liquidity and only then will lower interest rates start to affect the real economy ... Our view is that they cut rates to 4.5 percent by the end of the year."

This news has again stimulated the AdBlue price debate by further increasing the cost of bringing the product to the UK.