EUR/GBP

Euro / British Pound

EUR/GBP is a major euro cross expressing the relative policy and growth outlooks of the euro area and the UK.

EUR/GBP is a 'cross' — a pair that does not include the US dollar — expressing the value of the euro against the British pound. As the exchange rate between two closely linked, neighbouring economies, it tends to be less volatile than dollar pairs and is driven by the relative outlook for the euro area and the UK.

Traders use EUR/GBP to express a view on ECB-versus-BoE policy without taking dollar risk. Because it strips out the dollar, the pair can trend on UK-specific or euro-area-specific news that would be muddied in EUR/USD or GBP/USD.

What moves EUR/GBP

Trading sessions

Most active during the London session, when both euro-area and UK markets and data are live.

Volatility

Generally lower volatility than dollar majors, with moves concentrated around ECB and BoE decisions and UK/euro-area inflation.

Central banks behind this pair

EUR/GBP FAQ

What is a currency cross?
A cross is a pair that does not include the US dollar, like EUR/GBP. It isolates the relationship between two non-dollar currencies.
What drives EUR/GBP?
The relative policy paths of the ECB and Bank of England, plus euro-area and UK inflation, growth, and UK fiscal/political news.
Why trade EUR/GBP instead of the dollar pairs?
It lets traders express an ECB-vs-BoE view without taking on dollar risk, and can trend cleanly on region-specific news.

Related currency pairs

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