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

The pound euro (GBP/EUR) exchange rate is falling for a fourth straight day.

The euro rose in the previous session after business activity returned to expansion in January. The composite PMI rose to 50.7, up from 49.8

German IFO business climate data is due and is expected to rise to 90.2, up from 88.6

Upbeat data supports the view that a recession in the eurozone could be milder than initially feared.

The pound fell yesterday after weaker-than-forecast composite PMI data fueled recession fears. The composite PMI fell to 47.8, down from 49.

Attention now turns to UK PPI, wholesale inflation data, which is expected to rise to 13.9% YoY in December, up from 13.3%.