The Pound perked up in the second half of last week following comments from BoE Governor Andrew Bailey. The head of the BoE said that he believed that the minimum conditions had to met to hike interest rates.
The hawkish remarks overshadowed slowing economic growth. UK GDP in July slowed to 0.1%, down from 1% in June.
This week the UK economic calendar sees the release of UK labour market data, CPI and retail sales.
The Euro came under pressure last week despite the ECB announcing that it will slow the PEPP monthly bond purchases. The central bank also said that the programme could extend beyond March 2022.