The Pound Euro (GBP/EUR) exchange rate is inching higher, extending gains from Thursday.

The Pound managed to gain ground in the previous session despite few catalysts to push it higher. Today UK services PMI data is in focus. Expectations are for the final August reading to show a slowing in growth to 55.5, down from 59.6 in July.

The Euro failed to gain ground yesterday despite surging wholesale inflation and more hawkish calls coming from the European Central Bank.

Today Eurozone retail sales and the services PMI will be in focus. Retail sales are expected to rise 0.1% MoM in July.