11th September

Top Currency Pairs Monday 11th September 04:00 UTC GBP/USD: 1.25009 (Last Week: 1.26030) EUR/USD: 1.07227 (Last Week: 1.07859) GBP/EUR: 1.16584 (Last Week: 1.16848) Market News

Pound Sterling The British Pound fell against the US Dollar and Euro over the course of last week’s session, weighed upon by signs of a UK economy in decline. Moreover, previous tailwinds abated as hawkish BoE rhetoric was replaced by suggestions of caution ahead. Ultimately, the dovish pivot prompted markets to lower expectations for a November interest rate hike, while also increasing the odds that it could even leave rates unchanged in September.

Euro The Euro gained some ground as investors prepare for Thursday’s policy-setting meeting from the ECB. However, there is a great deal of uncertainty over the ECB’s rate decision as price pressures remain elevated while data shows economic activity is now slowing sharply. Ultimately, the central bank has raised rates at each of its past nine meetings and policymakers are now debating whether to raise the deposit rate again, to 4%, or pause.

U.S. Dollar The U.S. Dollar fell in early European trade this morning, retreating from a six-month high as global risk sentiment improved over the weekend. Looking forward, U.S. consumer inflation data, due on Wednesday, as well as producer prices on Thursday, will be carefully studied for more cues on the Fed’s monetary policy and the path of interest rates.

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Disclaimer: This is not investment advice; it is for informational purposes only.