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EUR/GBP little changed on BOE’s status-quo

FXStreet (Mumbai) - The pound continues to underperform the shared currency in the European session; keeping EUR/GBP elevated, as sterling remained largely unmoved by Bank of England’s (BOE) unchanged monetary policy stance.

EUR/GBP unperturbed by a non-event BOE

Currently, the EUR/GBP cross trades higher at 0.7262 up 0.18% on the day, keeping the same range prior to the BOE announcement. The cross in EUR/GBP held on to gains as the pound was largely unresponsive as the BOE left the base interest rate unchanged at the record low of 0.5% in April. More on sentiment and vote composition among the nine-strong Monetary Policy Committee (MPC) will be revealed in the minutes from today's meeting, due on April 22.

The central bank remains in wait-and-see mode as new forecasts loom. The policymakers will report on their outlook for inflation, economic growth, and the labor market on May 13 within the regular quarterly Inflation Report.

On the other hand, the euro erased most losses against the US dollar as concerns over Greece faded after Greece repaid its loan installment to IMF today.

EUR/GBP Levels to consider

To the upside, the next resistance is located at 0.7300 and above which it could extend gains to at 0.7351 levels. To the downside immediate support might be located at 0.7225 levels below that at 0.7167 levels.

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