Neutral
EUR/GBP rises to 0.8500 amid ECB tightening expectations
Over the past 24 hours, EUR/GBP has rebounded to the 0.8500 level from 13-month lows of 0.8455, supported by speculation that the European Central Bank (ECB) may hike rates in September. This uptick follows a period of decline, with the pair on track for its fourth consecutive weekly loss, having depreciated about 2.20% since mid-June.
Key points
- EUR/GBP rebounds to 0.8500 amid ECB tightening expectations.
- TD Securities views recent GBP strength as overextended, forecasting a return to 0.86 in 2026.
- Deutsche Bank sees potential for further EUR/GBP rally, citing political developments in the UK.
Sources
AI-generated from public news sources. Not financial advice.
