EUR/GBP looks to extend gains beyond 0.8600 post mixed UK data
- EUR/GBP is edging higher in the European trading session.
- The Euro gains on upbeat economic outlook and growth projections.
- GBP remains in dismay amid dismal GDP numbers, delay in economic reopening
The EUR/ GBP price gathers momentum on Friday in the European trading hours. The cross-currency pair recovers part of its previous day’s losses.
At the time of writing, EUR/GBP trades at 0.8597, up 0.18% for the day.
The British pound suffers at the hand of mixed economic data. The Gross Domestic Product (GDP) rose 2.3% in April. The Construction Output jumped 77.9%. The Industrial Production shrank by 1.3% in April against the market expectations of 1.2%.
In addition to that, the discussions among the UK policymakers on postponing the complete re-opening of the economy on June 21 due to the Indian variant also weighed on the British pound.
Meanwhile, the EU pledges a firm response as Brexit tension escalates on disagreement over the Northern Ireland protocol.
On the other hand, the shared currency gained after Germany posted an increased 9.7% rise in Wholesale prices. The ECB, in its latest policy meeting, kept the interest unchanged but vowed to continue with the bond purchasing program to boost the economy.
EUR/GBP additional levels
Author
Rekha Chauhan
Independent Analyst
Rekha Chauhan has been working as a content writer and research analyst in the forex and equity market domain for over two years.
