EUR/GBP Range-Bound as UK Growth Meets Forecasts, Eurozone Data Looms

The EUR/GBP exchange rate is holding steady around 0.8540 on Thursday after three consecutive sessions of losses for the Euro.

The Pound Sterling has received support from UK economic data that mostly met market expectations, although growth slowed from the previous quarter to 0.4% quarter-on-quarter in the second quarter.

A stronger-than-expected monthly GDP reading for June provided additional support for the Pound, but industrial production and manufacturing production declined in June, falling more sharply than economists had anticipated.

The disappointing factory data suggest that higher energy costs linked to ongoing Middle East tensions are continuing to weigh on economic activity, creating a mixed outlook for the British economy.