EUR/GBP hovers around 0.8330 ahead of BOE monetary policy report hearings

• EUR/GBP is oscillating in a narrow range of 0.8330-0.8345 ahead of BOE monetary policy report hearings.
• Investors have underpinned the pound against the euro amid the geopolitical jitters.
• Britain has imposed sanctions on Russia against its aggression on Ukraine.

EUR/GBP is oscillating in a narrow range of 0.8330-0.8345 in the Asian session, as investors are eyeing the monetary policy report hearings from the Bank of England (BOE) on Wednesday. The cross has remained volatile in the last few trading sessions on the obscurity over the headlines from the Russia-Ukraine tussle. However, market participants have been underpinning the pound against the shared currency as the latter one may be relatively more impacted by the escalation of sanctions on Russia.

Both economies are imposing sanctions against the aggression of Russia on Ukraine. On Tuesday, British foreign minister Liz Truss said in a Twitter post that their administration will announce new sanctions on Moscow in response to their breach of international law and attack on Ukraine's sovereignty and territorial integrity.

Later, Britain hit five Russian banks: Rossiya bank, IS bank, General bank, Promsvyazbank, and Black Seabank with sanctions while Germany barricaded a new gas pipeline from Russia despite the fact that Germany banks upon Russia for its domestic gas usage. It is worth mentioning that Russia accounts for 65% of Germany’s natural gas imports and almost 40% of the EU, as per The New Statesman.

Meanwhile, the European docket is full of events on Wednesday, starting from the speech of European Central Bank (ECB)’s member Frank Elderson and Vice President Luis De Guindos. Moreover, the Core Consumer Price Index (CPI) will be released by Eurostat. While the BOE member Silvana Tenreyro will provide insights on their decision-making for upcoming monetary policy.