Pound Rises to Strongest Since August 2022 Against the Euro
- ECB may start lowering interest rates as early as next month
- BOE seen waiting until after July vote before cutting rates
This article is for subscribers only.
The pound rose to the strongest level against the euro in almost two years as the Bank of England is increasingly expected to trail the European Central Bank in lowering interest rates.
Sterling jumped as much as 0.3% to 84.84 pence against the common currency, the highest since August 2022. The latest move comes after data showed inflation in May slowed across Germany’s regions compared to a month ago, a sign the trajectory for monetary policy could diverge further.