EUR/GBP: Scope for a drift back to the 0.84 area towards the end of next year – Rabobank

The Pound remains the second best performing G10 currency in the year to date after the CHF. Economists at Rabobank analyze GBP outlook.

Scope for a little more outperformance of GBP vs. the EUR

Looking ahead, we see scope for a little more outperformance of GBP vs. the EUR given that the UK’s weak economic position is being balanced by a poor situation for Germany.

We have tweaked our EUR/GBP forecasts in favour of the Pound and see scope for EUR/GBP drifting back to the 0.84 area towards the end of next year, down from a previous forecast of 0.87.