EUR/GBP loses ground below 0.8500, investors await BoE’s Ramsden speech

EUR/GBP edges lower to around 0.8490 in Tuesday’s early European session.
ECB’s Rehn said the central bank may cut interest rates below the neutral level that keeps the economy in balance.
UK Retail Sales rose in March, testing bets of a BoE rate cut in May.

Lallalit Srijandorn FXStreet

The EUR/GBP cross extends its downside to near 0.8490 during the early European session on Tuesday. The Euro (EUR) softens against the Pound Sterling (GBP) due to the dovish remarks from the European Central Bank (ECB). Traders brace for the speech by Bank of England (BoE) official Dave Ramsden later on Tuesday.

Earlier this month, the ECB cut the interest rates for the seventh time in a year, warning that US tariffs would negatively impact economic growth. This strengthens the case for additional rate reductions in the coming months and puts the EUR bulls on the defensive. ECB policymaker Olli Rehn said on Monday that the central bank may cut interest rates below the neutral level that keeps the economy in balance.

Traders are now pricing around a 75% odds of a June rate cut, up from roughly 60% before the ECB's decision, according to LSEG data. Nonetheless, given that the decision was still more than a month away and economic policy had become unpredictable since Donald Trump's April 2 announcement.

On the GBP’s front, UK Retail Sales rose in March, failing to challenge expectations of a Bank of England (BoE) rate cut in May amid growing economic uncertainty tied to tariffs. The UK Retail Sales increased 0.4% MoM in March versus a rise of 0.7% prior. This figure came in above the market consensus of a decline of 0.4%.

On an annual basis, Retail Sales jumped 2.6% in March compared to a rise of 2.2% prior, better than the estimation of 1.8%. Traders await the BoE’s Dave Ramsden speech later on Tuesday. Any dovish comments from BoE policymakers could undermine the GBP and limit the downside for the cross.

Author

Lallalit Srijandorn

FXStreet

Lallalit Srijandorn is a Parisian at heart. She has lived in France since 2019 and now becomes a digital entrepreneur based in Paris and Bangkok.

AUD/USD stuck as the RBA talks tough into a slowdown

The Australian Dollar is going nowhere in a hurry, and the contradiction at its core explains why. The Reserve Bank of Australia keeps dangling the prospect of another hike, yet the economy it governs just expanded 0.3% in the first quarter, a clear step down from the prior pace. A central bank threatening to tighten into a visible slowdown is not a recipe for conviction in either direction, and the tape shows it.

USD/JPY: Japanese Yen coiled at the line, leaning on everyone but Japan

The Yen is doing very little, and that stasis is the whole story. USD/JPY sits glued near 160.00 not because Japan has found new strength, but because two outside forces are fighting to a draw over it: a US rate complex that keeps the dollar bid, and a Ministry of Finance that refuses to let the line break.

Gold declines below $4,500 on stalled US-Iran ceasefire talks, US NFP data looms

Gold price edges lower to near $4,470 during the early Asian session on Friday. The precious metal remains volatile amid ongoing geopolitical turmoil. Traders will closely monitor the developments surrounding the US-Iran peace deal and the US May employment report later on Friday.

Bitcoin falls below $64K as demand turns negative, short-term holders' selling intensifies

Bitcoin has fallen below $64,000 on Thursday amid weakening market demand and mounting selling pressure from short-term holders. The leading cryptocurrency slipped toward the $63,000 level amid a broader risk-off environment, with several key metrics signaling one of the most challenging periods of the current market cycle.

Nonfarm payrolls: Testing the limits of Fed policy patience

The upcoming nonfarm payrolls report for May will provide the final update on the US labor market before Kevin Warsh attends his first policy meeting as the new Fed Chair later this month.

Recession on paper: What really moves the Canadian Loonie now?

Statistics Canada handed the headline writers a gift and the analysts a headache. Real GDP shrank 0.1% on an annualized basis in the first quarter, and with the fourth quarter of 2025 revised down to a 1.0% contraction, that is two negative quarters in a row, the textbook definition of a technical recession and Canada's first since the pandemic.