If you’re reading this on holiday, add a little to your mental bill for today’s paella and cerveza.
The euro has made a fresh pop higher against the pound, reaching now as high as £0.9064. (That leaves £1 buying €1.1029, if you prefer to read it that way around.) The moves are small – the pound is down by only 0.15 per cent or so on the day – but it’s still at new 10-month lows.
This is proving to be a slow-mo shift, with few abrupt triggers. Broadly, the euro is offering no respite to the wobbly dollar (it’s at $1.1810 and counting, with analysts such as Kit Juckes at SocGen eyeing a rise above $1.20 over the summer) while the UK rates outlook is offering few if any reasons to be cheerful.
For now, the trend is your friend.