The Pound Euro (GBP/EUR) exchange rate is edging higher snapping a two day losing streak.

The Euro rallied once again on the back of US Dollar weakness on Tuesday. The greenback traded at a 4.5 month low lifting the common currency. The Euro trades inversely to the US Dollar.

Better than forecast German IFO business sentiment data also helped lift the Euro. IFO business climate index rose to 99.2 in May up from 96.8 in April as optimism surrounding the economic recovery rebounded.

There is no high impacting Eurozone data today.

The Pound traded lower versus the Euro but gained versus the US Dollar in the previous session.

Data revealed that public sector net borrowing declined for the first time since the pandemic.