The pound euro (GBP/EUR) exchange rate is rising for a second straight day, lifting above €1.1550.

The euro trades lower after German PPI inflation tumbles to 34.5% raising hopes that inflation could be cooling. ECB’s Philip Lane said he supports smaller rate hikes going forwards.

Eurozone consumer confidence is due later and is expected to rise further from September’s record low, up to -26.

The pound is finding demand after PM Sunak pledged more support to energy intense businesses.

UK public sector net borrowing is expected to fall slightly in October.