The pound is struggling against the euro this morning as the single currency continues to respond to events in Ukraine. Sterling is also still in a weaker position against the dollar, as the greenback benefits from its status as a safe haven currency.
The markets will now look to the Bank of England’s latest monetary policy meeting, which is due to take place tomorrow.
The Bank is expected to hike the interest rate from 0.5% to 0.75%. If this expectation is not met and/or if officials express a more cautious approach to raising interest rates due to the war in Ukraine, the pound could suffer.
