EUR/GBP: The 0.85-0.87 range will largely prevail in the coming months – Rabobank

EUR/GBP has tested the water above the 0.87 level. Economists at Rabobank analyze the pair’s outlook.

Economic headwinds facing the Eurozone economy undermining the outlook for the EUR 

In view of the headwinds facing the Eurozone economy, we continue to see the outlook for GBP vs. the EUR as well balanced.

Consequently, we maintain our preference of selling rallies in EUR/GBP with the view that the 0.87 to 0.85 range will largely prevail in the coming months.

See: EUR/GBP could hit 0.90 next year – ING