The pound-to-euro exchange rate pulls back from 1.16, but dips to be shallow.
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Pound sterling edges lower against the euro with political risks seen building.
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Pound sterling rallied against the euro in the wake of the Bank of England decision, but technicals could prove a headwind from here.
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Pound sterling is under-pricing political uncertainty, say analysts, as Prime Minister Keir Starmer faces mounting pressure.
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The British pound can extend its short-term rally in the next few days, but Bank of England and ECB communication will prove a challenge on Thursday.
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Bank forecasts point to a gradual pound-to-euro decline, but outliers suggest a surprise could be coming.
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The trend is your friend — and right now, it's pointing higher for the pound against the euro.
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