Dr. Weidmann Signals Potential for Notable Euro Exchange Rate Strength

The European Central Bank should soon start discussing the end of its unprecedented stimulus programme in response to improving economic growth and inflation says Bundesbank president Jens Weidmann.

The last few months have seen a dramatic fall in the Pound to Euro pair due to a combination of worsening UK data and easing Eurozone political risk.

Today’s economic calendar will be dominated by the release of Eurozone PMI data at 09:00 B.S.T which should give an indication of how the economy fared in June.

The Pound has reached the bottom of a range between €1.13 and €1.20 within which it has been trading all year. Is it time to recover from the bottom of this range back towards the top?

Pound Sterling jumped and the FTSE dropped after the Bank of England’s chief economist and Monetary Policy Committee member said he’s ready to vote for an increase in interest rates "relatively soon".

Analysts at two of the UK's most well-known high-street financial services providers have updated clients with where they seel Sterling trading against the Euro over the course of the remainder of 2017 and through 2018.

Pound Sterling was seen outperforming its major rivals in mid-week trade following comments from a key Bank of England member.

The weakness may not last, however, given most bank analysts see the Pound as more undervalued versus the Euro than it should be.