The pound euro (GBP/EUR) exchange rate is rising after two days of losses.

The euro rose yesterday after inflation rose to 7% YoY in April, up from 6.9% in March. Meanwhile core CPI eased to 5.6%. However, the data still supports another rate hike by the ECB tomorrow.

There is no high impacting eurozone data due today.

The pound is finding support after food inflation jumped to 15.7% YoY in April a fresh record high. However, this should start to ease in the coming months.

There is no high impacting UK economic data today, or BoE speakers so the pound is likely to be driven by sentiment.