Bearish
Bank of America forecasts EUR/GBP to decline to 0.84 by end-2026 amid improved UK-EU relations.
Bank of America anticipates further downside for the EUR/GBP currency pair, maintaining a year-end target of 0.84. This outlook is based on expectations of improved UK-EU relations and a constructive view on the British pound. The bank also notes that the EUR/GBP exchange rate has returned to the middle of its trading range from the third quarter of 2025, indicating a period of near-term consolidation before further British pound strength emerges.
Key points
- Bank of America maintains a year-end target of 0.84 for EUR/GBP, citing improved UK-EU relations.
- EUR/GBP returns to the middle of its 2025 trading range, suggesting near-term consolidation.
- Bank of America remains constructive on the British pound's outlook despite potential political headwinds.
Sources
AI-generated from public news sources. Not financial advice.
