Euro Stumbles Against Sterling as German GDP Revision Fails to Spark Rally

The Euro has continued to lose ground against the British Pound for the fourth consecutive session, extending its decline on Tuesday. The EUR/GBP cross is currently trading near weekly lows around the 0.8550 region after erasing earlier daily gains.

Germany's economy expanded by 0.3% between April and June, exceeding the preliminary estimate of 0.2%. On an annual basis, German Gross Domestic Product (GDP) has been revised up to 1%, surpassing the initial reading of 0.9%.

ING analysts attribute the Pound's resilience to a low-volatility environment, where investors favor Sterling for its carry profile. As such, they predict that EUR/GBP will remain near current levels around 0.8550 in the short term.