Pound-Euro Steadies as Markets Recover on 'Turnaround Tuesday'

The Pound-to-Euro rate edged higher despite Sterling being one of the poorer performing major currencies last week and so may remain buoyant over the coming days.

GBP/EUR supported at 1.16 as corrective pressure wanes, struggles to overcome 1.17 without lift from UK data.

Pound Sterling is approximately 100 pips away from its 2021 highs against the Euro, a level that could be reached in the near-term say analysts.

Those betting on a stronger Euro against the Pound were left disappointed after the European Central Bank (ECB) met expectations and said it would lower the pace of its pandemic era quantitative easing programme.

Risk sentiment remains a key impediment to Pound Sterling's rebound against both the Euro and Dollar, pushing back against the currency's improving domestic narrative.

Any surprises from the ECB's policy update on Thursday could determine price action for the Pound-to-Euro exchange rate over coming days and weeks.