The Euro Pound (EUR/GBP) exchange rate has weakened this morning as a strengthening US Dollar limits the appeal of the single currency this morning.
At the time of writing the EUR/GBP pairing are trading around the £0.8593 as EUR is able to limit any major losses on the back of recent PMI data from the Eurozone.
Euro (EUR) Weakens Despite Positive Services PMI
The Euro has found itself weakening against many of its rivals this morning as a strengthening US Dollar causes EUR to suffer.
However, limiting any losses for the Euro this morning is the latest PMI data from the Eurozone, the most recent services PMI has shown the strongest growth since 2018.
The Euro Pound (EUR/GBP) exchange rate is edging higher this morning following the news that Europe will reopen its borders to those who have been fully vaccinated.
At the time of writing the EUR/GBP pairing are trading around the £0.8632 as concerns over the Indian variant of the virus cause Sterling investors to remain cautious.
Euro (EUR) Supported by EU Border Restrictions Easing
The Euro has found itself edging higher against the Pound since markets opened this morning.
News that the European Union (EU) countries would ease coronavirus travel restrictions on non-EU visitors as long as they are fully vaccinated was welcomed by investors.
The Euro Pound (EUR/GBP) exchange rate is mixed this morning after the latest consumer price index from the US rose more than expected as inflation worries continue to dominate markets.
At the time of writing the EUR/GBP pairing are trading around 0.8596 as Sterling finds support in the latest lockdown easing measures across the UK.
Euro (EUR) Investors Jittery over Inflation Worries
The Euro has been mixed this morning as markets digest the latest rise in inflation in the US released yesterday afternoon.
Amid the US dollar regaining traction the Euro has suffered due to the negative correlation between the pair, as inflation worries weighs on risk appetite.
The Euro Pound (EUR/GBP) exchange rate is strengthening this morning as markets await the latest interest rate decision from the Bank of England (BoE).
At the time of writing the EUR/GBP pairing are trading at around 0.8663 as German factory orders increase more than expected.
Euro (EUR) Supported by German Factory Orders
The Euro is being supported this morning by the latest factory orders data from Germany for March which rose more than expected.
German factory orders jumped to 3% in March, more than the 1.5% forecast. As reported by Bloomberg:
‘Demand for machinery, data processing equipment, electrical and optical goods as well as car manufacturing was particularly strong, the Economy Ministry said. Helped by strong recoveries abroad, German manufacturing has held up well during the latest rounds of restrictions to limit the spread of the coronavirus.’