The pound has continued its solid gains against the euro since the start of the year this week, with sterling now trading at a 22-month high against the eurozone currency. Similarly, the US dollar has shown strength this year as expectations for the first Federal Reserve rate cut are pushed even further back to November. So, as Britons prepare for their summer holidays, how far will their pound go against the two major currencies? In the wake of the crash, the pound almost hit parity with the euro at around €1.04 in early 2009. However, ING thinks a BoE rate cut this summer is 'much more likely' than markets are currently pricing.

Source: Daily Mail June 12, 2024 14:52 UTC