EUR/GBP gains momentum as EU inflation data tampers ECB dovish expectations

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EUR/GBP gains momentum as EU inflation data tampers ECB dovish expectations
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The EUR/GBP pair is riding high on robust European Union (EU) inflation data, surpassing expectations and shifting market expectations away from the dovish view of the European Central Bank (ECB).

EUR/GBP rose sharply on Friday at 0.8531, notching a 0.26% gain. Inflation data from the Eurozone, both headline and core HICP, exceeded the forecasts. A cut in June by the ECB seems already priced in, but hot inflation figures may impact the timing of the rest of the easing cycle. The EUR/GBP pair is riding high on robust European Union inflation data, surpassing expectations and shifting market expectations away from the dovish view of the European Central Bank .

EUR/GBP technical analysis In the daily analysis, the Relative Strength Index hovers in negative territory, signifying considerable seller dominance over the past sessions. Furthermore, despite a slight rise from its near-oversold condition, the RSI still lingers below 50, indicating a possible continuing downward trend.

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