The Pound Euro (GBP/EUR) exchange rate is falling again after settling mildly lower yesterday.
The Pound dropped in the previous session as fears over the impact that Omicron could have on the economy overshadowed surging inflation. CPI reached 5.1% YoY in November.
Today the BoE will announce its monetary policy decision. The central bank is expected to keep rates unchanged preferring to see how Omicron impacts the economy.
The ECB are also due to give their interest rate announcement. Again, no change to rates is expected. Should the ECB continue to sound dovish next to the BoE, the Euro could move lower.