The pound-euro (GBP/EUR) exchange rate is rising after trading flat for most of the day.
The pound is rising as the BoE left interest rates at 4% for a second month, in a closer-than-expected 5–4 vote. This sets the stage for a possible December cut after cooler-than-forecast September inflation of 3.8%. Policymakers will now assess the upcoming UK budget before acting.
The euro is falling after eurozone retail sales fell 0.1% MoM in September, in line with August and below forecasts of 0.2%.
The data offset stronger PMI data yesterday that showed business activity reaching a two-year high.