While a glimpse at EURGBP would not reveal much, both these currencies are now racing which one beats the US dollar more.
EUR is already up 0.41% on the day, for the pound it’s 0.49%. Both are approaching interesting levels. GBPUSD bounced off 1.27, while EURUSD is correcting after almost touching 1.08
A boost to EUR and GBP ahead of ECB; source: xStation5
The interesting part is that right now we can observe rising US yields, which should make the US dollar quite resilient. In fact it is now appreciating against other G-10 currencies.
The ECB decision and press conference today are definitely a source of uncertainty and hopes on the markets and higher volatility is justified by these circumstances. European currencies and stock indices should be particualrly affected by the outcome of these events.