Euro / Paun British
Panjang

EUR GBP - FUNDAMENTAL ANALYSIS

87
Pound Sterling Forecast: Extended Range Trading for EUR/GBP

Danske expects that the Bank of England will increase interest rates for a final time in June. It notes that at least one further rate hike is priced in by markets which will limit scope for Pound buying.

It does, however, consider that the Pound is slightly undervalued which will underpin the currency.

Overall, the bank summarises; “At present, we do not see the relative growth outlook or global investment environment to create significant divergence between EUR and GBP. We thus expect the cross to remain range bound around 0.87-0.88.”

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