Pound Euro (GBP/EUR) Exchange Rate Rangebound Due to Lack of Data
The Pound Euro (GBP/EUR) exchange rate is trading in a narrow range today, due to a lack of any market-moving data.
At the time of writing the GBP/EUR exchange rate is trading at around €1.1662, only slightly up from this morning’s opening rate.
Pound (GBP) Holds Steady amid Lull in UK Data
The Pound (GBP) is trading sideways this morning, as a lack in market moving data leaves the Pound vulnerable once again to market mood and risk appetite.
Ahead of tomorrow’s eagerly awaited UK jobs report, GBP investors are likely refraining from placing any aggressive bets today.
This comes after the Bank of England (BoE) recently indicated that they would be keeping rates higher for longer, but that there is still definitely some uncertainty surrounding rates.
Euro (EUR) Quiet as Eurozone Data Thin on the Ground
The Euro (EUR) is also subdued today, as a lack of fresh Eurozone data leaves the single currency to trade without direction.
Similarly, Germany’s latest ZEW economic sentiment index is expected to be released tomorrow.
This leaves the Euro trading mixed today as investors possibly hold back from placing bets on EUR, ahead of its own high-impact data release tomorrow.
Pound Euro Exchange Rate Forecast: Euro Could Climb if Economic Sentiment Beats Forecasts
Looking ahead, the UK’s latest jobs data will be in focus for GBP investors tomorrow.
The data is predicted to show a reduction in average earnings, from 7.7% to 7.4%, while unemployment is expected to rise from 4.2% to 4.3%.
Should the results print as expected, this could dent the Pound moving forward, specifically ahead of the Bank of England’s (BoE) rate decision later in the week.
Turning to the Euro, Germany’s latest ZEW economic sentiment index will also be released on Tuesday.
Last month’s index, which reported the strongest improvement since March, suggests that the outlook for Europe’s largest economy has turned positive.
While we expect to see a modest fall in this month’s index, if the outlook remains positive the Euro could firm.