The pound-euro (GBP/EUR) exchange rate is unchanged on Tuesday after modest declines over the past three days.
The euro is flat despite a sharp drop in German investor sentiment. The German ZEW economic sentiment index fell to -0.5 from 58.3, reflecting growing concerns over rising energy costs and their potential to weaken eurozone growth.
The pound is steady as investors assess the impact of the Middle East conflict ahead of the Bank of England decision, where rates are expected to remain at 3.75%.
Rising oil prices, up around 40% since the conflict began, are fuelling inflation concerns and have removed expectations of a near-term rate cut.