We have been writing for weeks now that the outlook for sterling depends on how the 1.25 support zone holds out.

The pound to euro exchange rate (GBP/EUR) has reached new lows of 1.2544 (at time of writing), breaking below the previous 1.2579, 15-month, bottom established on March 24.

Markets need to be more aware of the risks posed by a Brexit on the euro exchange rate complex.

The pound to euro exchange rate (GBP/EUR) has bounced off recent lows thanks to a positive view on the outlook contained in the Bank of England’s March policy meeting minutes.