GBP/EUR: Pound Heads Higher As EU To Mull Over Brexit Extension

The pound euro (GBP/EUR) exchange rate is falling snapping a two day winning run.

The euro gains after the ECB hiked interest rates by 50 basis points, despite the banking crisis that unfolded this week. ECB President Christine Lagarde said that decisions would be data dependent going forwards.

Eurozone inflation is expected to confirm the preliminary reading of 8.5% YoY.

The pound is easing amid a quiet economic calendar.

The BoE interest rate decision is due next week and the market is undecided whether the central bank will hike rates, even though inflation remains in double digits.