GBP/EUR UK Retail Sales Soar Despite Consumers Being Squeezed

The pound euro (GBP/EUR) exchange rate is falling for a third straight day and is set to fall across the week.

UK retail sales surprised by falling -0.3% MoM in October, defying expectations of a 0.3% rise. September’s sales were also revised lower to -1.1%.

The data supports the idea that the BoE won’t be hiking interest rates again and will instead be cutting rates as the next move.

The euro is rising ahead of inflation data which is expected to confirm the 2.9% YoY preliminary reading, down from 4.3%.

ECB President is due to speak and could influence the pair.