The Pound Sterling to Euro (GBP/EUR) exchange rate has crashed today, with Sterling (GBP) also falling against its other main rivals. The main reasons behind this have been a residual negativity from yesterday’s Bank of England (BoE) minutes and a lack of support from domestic UK data.
GBP/EUR Exchange Rate News: Bank of England (BoE) Dovishness Carries Over to Depress Investors Today
The Pound Sterling (GBP) has declined in value overall today, falling by -0.4% against the Euro (GBP/EUR), -0.6% against the Australian Dollar (GBP/AUD) and the Czech Koruna (GBP/CZK), -0.7% against the Israeli New Shekel (GBP/ILS) and -0.9% against the Norwegian Krone (GBP/NOK). The few positive motions made by the Pound have been by 0.2% against the Turkish Lira (GBP/TRY) and 0.4% against the Russian Ruble (GBP/RUB).
In addition to the Pound still reeling from yesterday’s crushingly dovish BoE forecasts for the future of the UK economy, today’s economic releases have failed to reverse these downtrend-enabling conditions. The UK Industrial and Manufacturing Production figures have fallen short of forecasts and even though the UK Trade Deficit narrowed, this has failed to provide any impetus for a Sterling uptrend.
EUR/GBP Exchange Rate Advances Today, Average Movement Elsewhere for Single Currency
The Euro (EUR) has fared somewhat better than the Pound Sterling (EUR/GBP) today, although on the whole it too has been devalued by disappointing domestic releases. The only major Eurozone results of the day, the German Industrial Production outcomes for September, have printed shortfalls on predictions; the monthly figure actually posted a -1.1% decline instead of the expected 0.5% rise.
The Euro has risen by 0.2% against the Polish Zloty (EUR/PLN), 0.4% against the South African Rand (EUR/ZAR) and 0.5% against the Pound Sterling (EUR/GBP) today, but has made a -0.4% loss against the Indian Rupee (EUR/INR).
GBP/EUR Exchange Rate Forecast: NIESR Estimate to mark Last Pairing Input Today, Sentix Score due Next Week
No further Eurozone results are forecast for release today, therefore the last word will belong to the UK with the National Institute of Economic and Social Research (NIESR) GDP Estimate for October, due this afternoon. As the NIESR’s assigned figure is considered to be highly important by investors, any kind of positive or negative forecast may trigger noticeable Sterling movement.
Next week, UK data will come early with the October Halifax Plc House Prices on Sunday, which have been forecast to grow. Monday is devoid of UK data, but will bring the German Trade Balance for September and the Eurozone Sentix Investor Confidence score for November.
Current GBP, EUR Exchange Rates
The Pound Sterling to Euro (GBP/EUR) exchange rate was trending in the region of 1.3915 and the Euro to Pound Sterling (EUR/GBP) exchange rate was trending in the region of 0.7188 today.
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