The Pound jumped higher after UK CPI inflation data hit an almost 10 year high at 4.2% in October, up from 3.1% in September. The data comes following data earlier in the week which showed that the UK labour market was on the right road to recovery.
This week’s data has boosted bets that the BoE could hike interest rates as soon as the December meeting.
The Euro came under pressure yesterday after core inflation was downwardly revised to 2% in October, from 2.1%.
The ECB have pushed back on the prospect of a rate hike in 2022. ECB speakers are in focus today.