GBP/EUR slips back after touching 30 month high
Written by
Daily Currency Update
Better-than-expected UK retail sales data for September, released on Friday, pushed GBP/EUR to a 30-month high. The pair reached 1.2054 after the report showed a 0.3% rise in sales, defying predictions of a -0.4% contraction. This marked the third consecutive month of growth, indicating continued consumer spending despite uncertainty surrounding the upcoming Budget, which Chancellor of the Exchequer Rachel Reeves will deliver at the end of the month.Today, there is little news from the UK, with a speech by Bank of England Governor Andrew Bailey scheduled for tomorrow as the first notable event of the week. Currently, GBP/USD is trading around 1.3020, with GBP/EUR at 1.2005.
Key Movers
Like the UK, there is little significant data from the US or Eurozone today. However, we may gain further insights into the US Federal Reserve's future monetary policy, with several Federal Open Market Committee members—Logan, Kashkari, Schmid, and Daly—scheduled to speak later in the day. That said, their remarks are unlikely to have a major market impact.The next key event from the Eurozone is a speech by European Central Bank President Christine Lagarde in Washington, D.C., tomorrow evening. Following last week’s relatively downbeat economic outlook, when she confirmed a 25bp rate cut, investors will be eager to hear her views on the future direction of policy. EUR/USD is currently trading around 1.0850.
Expected Ranges
- GBP/USD: 1.2970 - 1.3105 ▼
- GBP/EUR: 1.1960 - 1.2055 ▼
- GBP/AUD: 1.9375 - 1.9540 ▲
- EUR/USD: 1.0820 - 1.0905 ▼