EUR/GBP Traders Eye UK Jobs Data Amid Inflation Fears

The EUR/GBP exchange rate is trading in a tight range ahead of the UK's jobs data release, which could have a significant impact on Sterling. The European Central Bank raised interest rates in June and markets are expecting another hike at the September meeting due to persistent energy-driven inflation.

A senior Iranian official has announced that Tehran will shift its stance from defensive to 'fully offensive', setting a deadline of a few weeks for the US to implement the June memorandum of understanding. If diplomacy fails, all Iranian entities are prepared to escalate tensions in the Strait of Hormuz and the wider region.

The UK jobs report is expected on Tuesday, with key releases including Average Earnings figures, wage data, Claimant Count, Employment Change, and ILO Unemployment Rate. A firm wage print could boost the Pound, while a soft one would give the Euro the initiative.