EUR/GBP Steady Amid Muted Reaction to Strong PMIs

The Euro (EUR) is facing pressure against the British Pound (GBP), despite strong Purchasing Managers Index (PMI) surveys in both the Eurozone and the United Kingdom. The flash PMIs beat forecasts, with German manufacturing hitting a multi-year high, but German services slipping back into contraction.

This mixed data has led to a muted reaction for the EUR/GBP pair, which held steady at around 0.8570 on Friday. Iranian President Masoud Pezeshkian's comments that Iran wants to end its conflict with the US 'from a position of strength' have also contributed to a sense of de-escalation in the Middle East.

The technical analysis suggests a bearish bias for EUR/GBP, with resistance clustered at 0.8565 and 0.8571. The Relative Strength Index (RSI 14) is around 49, indicating neutral momentum.