This is virtually unchanged from this morning’s opening levels.
Reports from Italy suggesting the Five Star Movement (M5S) and the regionalist League, are on the cusp creating a coalition government.
Euro investors appear to be taking the news in their stride this morning.
It appears markets are relieved that after two months of political deadlock Italy is finally close to the formation of a new government.
This staves off the possibility of a second general election later this summer.
It also hopefully leaves plenty of time for the new government to decide on 2019’s budget and prevent a shutdown in Europe’s most indebted nation.
At the same time the pound is struggling to may any headway against the euro at the start of this week’s session as markets reflect on last week’s rate decision by the Bank of England (BoE).
With the bank voting to leave interest rates on hold this month, markets are now speculating on whether there is still the potential for a rate hike from the BoE this year.
A number of analysts are currently appearing pessimistic.
Looking ahead movement in the pound euro exchange rate this week is likely to be driven by the release of the UK’s latest employment figures on Tuesday.
While the data is expected to show that unemployment held at a 42-year low in March, the main focus for investors is likely to be on the accompanying wage figures.
This could see the pound tumble if wage growth is shown to have slowed slightly at the end of the first quarter, as forecast.
Meanwhile the euro may also face some weakness tomorrow as Germany publishes preliminary reading of its first quarter growth figures.
Economists are forecasting GDP growth will have slipped from 0.6 per cent to 0.4 per cent at the start of the year.