Core Insights - The British pound has rebounded against the euro due to reduced long positions on the euro by investors [1] - The rebound is influenced by a trade agreement between the US and Europe, which has alleviated concerns about a US economic recession [1] - The overall strength of the dollar has contributed to the decline of the euro, as market fears regarding tariffs impacting the eurozone economy have increased [1] Currency Movements - The British pound fell to a two-month low against the US dollar but rose to a near one-week high against the euro [1] - The euro's decline is attributed to market concerns over tariffs potentially harming the eurozone economy [1] - The report from ING's head of foreign exchange strategy, Chris Turner, highlights the reduction of previously held long positions on the euro by investors as a factor in the pound's rebound [1]