Bearish
Citi turns tactically bearish on sterling ahead of Burnham appointment
Citi has adopted a bearish stance on the British pound, anticipating potential downside in the EUR/GBP pair as Andy Burnham is set to be appointed Prime Minister on July 20. The bank suggests that any short-term gains in EUR/GBP could be tactical, with a longer-term view favoring the euro.
Key points
- Citi forecasts potential downside in EUR/GBP as UK-EU relations improve.
- EUR/GBP remains range-bound as budget risk premium fades.
- BNP Paribas projects a moderate rise in EUR/GBP to 1.20 by Q4 2026.
Sources
AI-generated from public news sources. Not financial advice.
