At the time of writing on Tuesday, the EUR/GBP rate was trading around 0.8640, virtually unchanged today as investors remain on the sidelines ahead of the European Central Bank (ECB) and Bank of England (BoE) monetary policy decisions due on Thursday.
On the European side, the ECB is widely expected to leave the deposit rate unchanged at 2%. However, money markets continue to price in the possibility of an interest rate enhance by mid-year, and some policymakers, including Peter Kazimir, emphasize the risk of rising inflation related to geopolitical tensions.
The BoE is also expected to leave its key interest rate unchanged at 3.75% amid continued economic uncertainty. Investors expect a relatively hawkish tone due to the continuing risk of inflation, especially in the event of renewed increases in energy prices.
Also on Thursday, before these decisions, attention will be paid to data from the British labor market. The unemployment rate is expected to remain stable at 5.2%, according to the International Labor Organization (ILO). Any upside surprise could support the pound sterling (GBP), and weaker data could strengthen expectations for future monetary easing.
Fundamentally, the euro (EUR) is supporting the decline in oil prices, which is a positive factor for the euro area given its high dependence on energy imports. Reducing supply problems, tankers safely crossing the Strait of Hormuz and signals of potential releases of strategic reserves are contributing to improving economic prospects in the region.
In this context, EUR/GBP remains in a consolidation phase and investors are waiting for clearer signals from central banks before making a directional move.
Price in euro today
The table below shows the current percentage change of the euro (EUR) against the main listed currencies. The euro was strongest against the Canadian dollar.
| USD | EUR | GBP | JPY | BOOR | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.26% | -0.24% | -0.10% | 0.11% | -0.44% | 0.05% | -0.24% | |
| EUR | 0.26% | 0.02% | 0.16% | 0.37% | -0.19% | 0.31% | 0.02% | |
| GBP | 0.24% | -0.02% | 0.15% | 0.35% | -0.20% | 0.29% | 0.00% | |
| JPY | 0.10% | -0.16% | -0.15% | 0.21% | -0.35% | 0.15% | -0.14% | |
| BOOR | -0.11% | -0.37% | -0.35% | -0.21% | -0.55% | -0.05% | -0.34% | |
| AUD | 0.44% | 0.19% | 0.20% | 0.35% | 0.55% | 0.50% | 0.20% | |
| NZD | -0.05% | -0.31% | -0.29% | -0.15% | 0.05% | -0.50% | -0.29% | |
| CHF | 0.24% | -0.02% | -0.01% | 0.14% | 0.34% | -0.20% | 0.29% |
The heat map shows the percentage changes of the major currencies relative to each other. The base currency is selected from the left column and the quote currency from the top row. For example, if you select Euro from the left column and move along the horizontal line to US Dollar, the percentage change displayed in the box will represent EUR (base)/USD (quote).
