The euro climbed slightly after data released from the eurozone private sector data boosted hopes that a recession could be avoided in the bloc’s economy.
The pound has managed to recover today after it plunged to a 10-year low against the euro, reaching €1.0724.
Things have gone from bad to worse for the pound. As it stands, the pound is now the most volatile currency in the G-10.
The pound has come under renewed attack on the increasing fears of a ‘hard’ Brexit, which led to its fresh 28-month low. U.K Prime Minister Boris Johnson has ramped up preparations for a no-deal withdrawal from the EU, with around three months remaining.
Mounting pressure on the euro comes from recent data showing Germany’s manufacturing sector contracting at the quickest pace in seven years, while French business growth also unexpectedly slowed.
The pound was pulled down by a firm dollar, while concerns rise that the new prime minister will force Britain to leave the EU with no agreement in place.
British retail sales increased unexpectedly by 1% in June, which in comparison to data from June 2018, sales were stronger than all forecasts, resulting in a 3.8% rise.