Pound to Euro Today: GBP/EUR Rate "Trapped in Range" Ahead of UK Jobs Data

February 17, 2025 - Written by Tim Boyer

STORY LINK Pound to Euro Today: GBP/EUR Rate "Trapped in Range" Ahead of UK Jobs Data

The Pound was trapped in a narrow range against the Euro on Monday following the release of the Eurozone’s latest balance of trade data.

At the time of writing, the Pound to Euro exchange rate (GBP/EUR) was trading at around €1.2011, virtually unchanged from Monday’s opening levels.

On Monday, the Euro (EUR) failed to attract much investor interest compared to most of its counterparts, despite the release of some positive economic data from the Eurozone.

The latest balance of trade figures showed that the Eurozone's trade surplus decreased less than expected in December, falling from €16.4 billion to €15.5 billion, which was better than the expected drop to €14.4 billion.

Despite this somewhat favourable outcome, the Euro still weakened on Monday as the currency was further pressured by generally positive market sentiment and its status as a safe-haven asset.

Pound (GBP) Exchange Rates Wobble ahead of UK Labour Report

On Monday, the Pound (GBP) fluctuated against most of its counterparts, showing gains against several safe-haven currencies while remaining largely stable elsewhere, amid an absence of UK data releases.

The Pound benefited slightly from the day's risk-positive sentiment, but investors remained cautious, avoiding significant moves on the currency ahead of key data due out the following day.

On Tuesday, the UK is set to release its latest jobs report, which could present new challenges for Sterling as the week unfolds.

Looking ahead to Tuesday, the main factor influencing the Pound Euro exchange rate will likely be the release of economic data from both the UK and the Eurozone.

Investors will closely monitor the UK’s labour report for the Pound.

If the data meets expectations and shows an increase in unemployment and an uptick in wage growth data, the trading session for Sterling could be mixed.

Germany will unveil its latest ZEW economic sentiment index on the Euro side.

If the data matches expectations and shows an improvement in sentiment in the Eurozone’s largest economy, the Euro could start Tuesday’s session on a strong note.

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TAGS: Pound Euro Forecasts