Pound Sterling has entered a technical downtrend against the Euro, with Tuesday's labour market report posing new downside risks.
A surprisingly soft UK inflation figure helped steady Pound Sterling against the Euro, but it was the soft U.S. inflation undershoot that really got the recovery going.
The British Pound can steady from here, although risks remain, says Goldman Sachs.
Pound Sterling selling resumes on Monday amidst a significant shift in confidence towards the UK at the start of 2025.