01/06/2026
Currency markets have opened the week with attention focused on central bank expectations, energy markets, and ongoing developments in the Middle East.
π¬π§πΊπΈ GBP/USD
GBP/USD has started the month trading within a relatively narrow range as markets balance improving sentiment around potential diplomatic progress in the Middle East with continued uncertainty over any formal agreement.
The pair remains sensitive to movements in the US dollar, while attention this week turns to US manufacturing data and further commentary from the Bank of England. Market expectations around interest rates on both sides of the Atlantic continue to influence direction.
πͺπΊπΊπΈ EUR/USD
EUR/USD has edged higher in early trading, supported by expectations surrounding next week's European Central Bank meeting.
With inflation remaining a key focus for policymakers, markets continue to assess the outlook for both ECB and Federal Reserve policy. Broader developments in energy markets and global sentiment remain important drivers of the pair.
π¬π§πͺπΊ GBP/EUR
GBP/EUR has eased from recent highs as markets reassess the outlook for UK and Eurozone interest rates. The pair continues to reflect differing expectations around central bank policy, with investors looking ahead to the ECB's upcoming meeting and further guidance from the Bank of England.
Movement this week is likely to remain influenced by central bank commentary, energy prices, and wider market sentiment.
π Rates at 10:00am this morning:
β’ GBP / USD β 1.3471
β’ EUR / USD β 1.1658
β’ GBP / EUR β 1.1555
Rates correct as of 10:00am on Monday 1 June but may now have changed.