The last Bank of England (BoE) rate meeting has so far been unable to provide support for sterling. Economists at Commerzbank do not expect the EUR/GBP pair to move back lower again.

Difficult balancing act for BoE Governor

“Monetary policy remains a difficult balancing act for the BoE, also from a communication point of view.”

“It remains to be seen to what extent BoE Governor Andrew Bailey will be able to convince sterling investors in his speech at the ECB forum in Sintra today. It is unlikely to be an easy task though. As a result, it is likely to be difficult for sterling to appreciate against EUR again.”