EUR/GBP

The British Pound (GBP) struggles for direction against the Euro (EUR) on Thursday as the Bank of England’s (BoE) interest rate hike draws a muted market reaction, with the move already priced in.

MUFG’s Lee Hardman reports that the Pound has benefited from broad US Dollar weakness, with GBP/USD briefly above 1.3500 and EUR/GBP near 0.8300. Markets expect the BoE to deliver its first rate hike since the US-Iran conflict began, though MUFG anticipates cautious forward guidance and fewer hikes than currently priced, limiting but not reversing recent Pound strength.

Societe Generale strategists highlight that GBP/USD has rebounded from the lower boundary of its multi‑month range and reclaimed its 200‑DMA, suggesting scope for further recovery. The bank sees resistance near 1.3555/1.3600 and 1.3660, with first support at the 200‑DMA around 1.3420.

The Euro (EUR) ticks up against the British Pound (GBP) on Thursday but remains within previous days’ ranges as investors await the outcome of the Bank of England’s (BoE) monetary policy meeting, due later on Thursday, to make investment decisions.

The Euro (EUR) remains practically flat against the British Pound (GBP) on Monday, with both currencies appreciating sharply against the US Dollar (USD) following the results of the US midterm elections, but with the GBP buoyed by market expectations that the Bank of England (BoE) will hike interest

EUR/GBP edges lower on Tuesday after posting modest gains the previous day, when a sharp decline in Oil prices offered some relief to the energy-dependent Eurozone and supported the Euro (EUR). At the time of writing, the cross trades around 0.8336, down 0.11% on the day.