A Jin10 report cites ING analyst Chris Turner, who says the pound could extend its gains against the euro if markets price in a Bank of England rate increase at its next meeting.

Turner noted that the recent euro-pound move has largely reflected worries about France's debt problems, but a potential BoE rate hike in November could provide support for the pound.

Bank of England Governor Bailey and Deputy Governor Lombardelli are due to speak later on Thursday.

Turner added that if they give any hint they are prepared to cross the "red line" and vote for a rate hike, the euro-pound rate could fall further today.