EUR/GBP: Risks moderately skewed to the upside – Danske Bank

Sandeep Kanihama FXStreet Contributor

The dip in EUR/GBP following the strong UK inflation prints yesterday proved short -lived as expected and the cross ended the day slightly higher, notes Senior Analyst, Piet P.H. Christiansen at Danske Bank.

Key Quotes

“The market is already pricing in a 19bp hike in May and we see limited potential for additional pricing at this early stage. We see risks moderately skewed to the upside for EUR/GBP near term, with Brexit negotiations stuck internally. Strategically, we are bearish EUR/GBP and would consider selling EUR/GBP on rallies above 0.8950.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

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