Sterling continues to perform well. Economists at ING discuss the EUR/GBP outlook ahead of Eurozone Harmonised Index of Consumer Prices (HICP) data.
“Sterling now looks like a decent intra-European target currency for the carry trade.”
“Unless Eurozone CPI today surprises on the upside to drag Eurozone swap rates higher, EUR/GBP looks as though it can drift to the 0.8550 area.”
See – Eurozone HICP Preview: Forecasts from four major banks, sharp drop in inflation