The pound euro (GBP/EUR) exchange rate is rising for a second day towards €1.1650.

The pound is rising ahead of tomorrow’s BoE interest rate decision, where policy makers are expected to hike by 75 basis points.

Yesterday UK manufacturing PMI showed that activity contracted for a fourth straight month as foreign demand dropped.

Today the eurozone manufacturing PMI is in focus. Expectations are for a decline to 46.6, down from 48.4 as new orders slide and inflation remains high.

Yesterday the eurozone economic calendar was light leaving the euro to drift lower.