GBP EUR Higher for Fifth-Straight Day on German Data 

GBP EUR Higher for Fifth-Straight Day on German Data 

The GBP EUR exchange rate will look to build on last week’s gains, but it may have to wait for the Bank of England meeting on Thursday. Analysts anticipate a hike of 25 and 50bps, but the bank may go for the former as inflation nears its peak expectation. There will also be fears that going too fast will hinder economic growth. German retail sales and final PMI numbers will be the day’s economic data releases.  The GBP to EUR opens the week trading at...
GBP EUR Exchange Rate: The Week Ahead July 31st

GBP EUR Exchange Rate: The Week Ahead July 31st

The GBP EUR exchange rate jumped 250 pips this week towards the previously stubborn resistance at the 1.2000 level. Fears of a recession in Germany gave traders a greenlight to bid the pound sterling. We now head into another week of economic data, with European employment, German trade, and PMI figures being the likely rate drivers. The big day will be Thursday with another Bank of England rate meeting. The GBP to EUR traded above the 1.1900 level heading into the weekend after almost touching...
GBP EUR Exchange Rate: Weekly Review August 6th  

GBP EUR Exchange Rate: Weekly Review July 30th

The GBP EUR exchange rate soared on the week as German economic data and Russian gas fears hinted at a potential recession in Europe’s largest economy. For the UK, IMF forecasts tipped the country to slow down, but narrowly escape recession. Despite government subsidies, inflation data was higher again in Germany. The Spanish and French economies saw record inflation prints on Friday. The GBP v EUR opened the week around the 1.1750 mark. However, it jumped to touch highs near the 1.2000 level. IMF cuts UK...
GBP EUR Advances Despite Better German Trade 

GBP EUR Higher for Fifth-Straight Day on German Data 

The GBP EUR exchange rate was higher for a fifth-consecutive day after German inflation data came in higher than expected. The latest number will pressure wages and add another headwind to the country.  The GBP to EUR trades at 1.1950. It looks to the 1.2000 level, where stubborn resistance was found last year.  German inflation unexpectedly higher in June numbers German inflation was unexpectedly higher, putting pressure on the European Central Bank to raise interest rates further.  Consumer prices in Europe’s largest economy jumped 8.5% from a year...
GBP EUR Higher on Weak German Consumer Confidence 

GBP EUR Higher on Weak German Consumer Confidence 

The GBP EUR exchange rate again jumped to the 1.1900 level on Wednesday after German consumer confidence hit a new record low. It was a warning sign for a recession in Europe’s largest economy. In the UK, another rail strike went ahead, disrupting commuters.  The GBP to EUR trades at 1.11905. This level will be critical to further gains.  Germany edges towards a recession with consumer weakness  Germany’s economy lurched towards recession after consumer confidence was at a record low. The former powerhouse of Europe, with its previously untouchable...
GBP EUR Back Above 1.1800 Level on German Woes

GBP EUR Back Above 1.1800 Level on German Woes

The GBP EUR exchange rate was 0.34% higher on Tuesday after German data pointed to a potential recession. An IFO survey mirrored weak PMI numbers, with Russian gas set to be the defining moment for the European economy. The pound sterling was higher for a third-straight day. Rishi Sunak and Liz Truss continued their leadership battle with a televised debate.  The GBP to EUR trades at 1.1825 ahead of German consumer confidence on Wednesday.  Business climate struggles in Germany highlight recession risk The German IFO business climate...
GBP EUR Supported by Lagging ECB Rates 

GBP EUR Supported by Lagging ECB Rates 

The GBPEUR exchange rate gained support after last week’s ECB rate hike meeting saw a 50bps hike in interest rates. Despite making a move to kick-start its ‘normalisation’ of monetary policy, the ECB still lags behind other central banks in its actions to curb inflation. The EU is in talks to boost gas supplies from Nigeria as it looks for alternatives to Russian supply.  The GBP to EUR opened the week at 1.1750 and traded at 0.30% higher to 1.1790 on Monday.  EU in talks with Nigeria...
GBP EUR Advances Despite Better German Trade 

GBP EUR Looks to Gain from ECB Disappointment 

After the latest European Central Bank meeting disappointed, the GBP EUR exchange rate will look for further gains this week. The bank hiked interest rates by 50 basis points, but there was pushback on its new bailout tool. The Italian government was also on the verge of collapse last week, adding some weight to the euro.   The GBP to EUR opened the week at 1.1750 as it moves to recover the 1.1900 level that provided resistance recently.  Italian government collapses, opening the door to Meloni The Italian...
GBP EUR Exchange Rate: The Week Ahead July 24th

GBP EUR Exchange Rate: The Week Ahead July 24th

The GBP EUR exchange rate was lower after employment figures showed real wages fell at their fastest pace since records began in 2001. There was also a higher inflation print at 9.4%, which added to the recession fears for the UK. The euro rallied from the return of Russian gas from the Nord Stream pipeline. The European Central Bank were also in focus with a rate hike to end its negative rate cycle.   The GBP to EUR fell below the 1.1800 level the week after...
GBP USD Exchange Rate: The Week Ahead August 08th  

GBP USD Slips as Data Highlights Economic Slowdown

A choppy week for GBP USD concluded with more peaks and troughs for the pair. The pound fell against the dollar on Friday morning after new data stoked fears about a slowdown in the UK economy. According to an industry survey, Britain’s businesses recorded their slowest growth in 17 months, and inflation pressures eased. This could reduce pressure on the Bank of England to vote through a large interest rate hike in August to tackle four-decade high inflation. The UK composite purchasing mangers' index (PMI) dropped...