Economists at ING do not expect the EUR/GBP pair to break out of recent ranges.

Unusually stable BoE rate expectations

The lack of domestic events in the UK has helped an unusual period of very stable BoE rate expectations: markets appear rather anchored to the prospect of a peak rate around 5.70-5.75% for now.

EUR/GBP has faced some downward pressure, likely due to the negative impact of the Italian bank windfall tax announcement on the Euro, but looks unlikely to break out of recent ranges. 0.8600 should continue to be the gravity level for now.