The GBP to CZK exchange rate has a range-bound bias in the near term. Key drivers include the Bank of England's recent rate cut and its indication of slower future cuts, alongside a projected decline in UK inflation. Meanwhile, the Czech National Bank is anticipated to maintain a stable policy, supporting the koruna's value.
In recent trades, the GBP to CZK rate has fluctuated between 27.37 and 28.09, currently sitting just above its three-month average of 27.80.
Upside risks could emerge if UK retail sales figures show stronger-than-expected growth, potentially boosting the pound. Conversely, a slowdown in the Czech economy or negative global trade developments might exert downward pressure on the koruna, influencing the exchange rate.