EUR/GBP retreats from 5-month high as EU economy contracts

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• EUR/GBP falls from a 5-month high of 0.8754, currently trading at 0.8705.
• Eurozone inflation drops to 2.9% in October, while GDP for Q3 misses forecasts, contracting by 0.1%.
• The Bank of England is expected to keep rates unchanged at 5.25% on November 2, as traders priced in rate cuts towards the end of 2024.

The EUR/GBP falls from a 5-month high reached earlier in the European session, at 0.8754, but has retreated after the Eurozone’s (EU) economy contracted while inflation cooled. Therefore, speculations are mounting that the European Central Bank (ECB) might finish raising rates. The cross exchanges hands at 0.8705.