EURGBP definition

EUR/GBP is the exchange rate between the euro and the British pound, showing how many pounds one euro will buy. It is a major cross, one that does not involve the US dollar, and accounts for about 1.8% of the roughly $9.6 trillion that changes hands in the global forex market each day (BIS Triennial Survey, 2025). Liquidity is solid, though spreads are a touch wider than on the dollar majors.

The euro is the base currency and the pound the quote currency, so a quote of 0.8500 means one euro is worth 0.8500 pounds. A rising price means the euro is strengthening against the pound, a falling price the reverse. You trade EUR/GBP as a forex CFD, taking a position on the price rather than buying euros outright: go long if you expect the euro to rise, short if you expect it to fall. Pips are at the fourth decimal place, and your profit or loss is the pips gained or lost times your position size, settled in pounds.

As a cross, EUR/GBP is really a bet on the European Central Bank against the Bank of England, and on how the eurozone and UK economies are faring relative to each other. When the ECB is tightening faster than the BoE the euro tends to gain; when UK data outpaces the bloc the pound does. With no dollar in the quote it is less swayed by US headlines and more by the two central banks' diverging paths, which is why it often trends in calmer, narrower ranges than the dollar pairs.