Pound Sterling (GBP)

The British Pound has strengthened recently, demonstrating resilience despite weak domestic data and cautious signals from the Bank of England. Market sentiment has improved, fostering optimism about Sterling’s medium-term prospects. Some analysts believe the Pound will remain supported by broader risk dynamics and stable policy expectations.

Euro (EUR)

The Euro struggled on Friday following disappointing Eurozone data, which highlighted sluggish growth and subdued inflation, raising expectations of further European Central Bank rate cuts. Despite a stronger German business climate report, the Euro remained under pressure due to falling consumer confidence and weaker PMI surveys. A downgraded German growth forecast added to the cautious outlook, with mixed signals from across the region contributing to the Euro’s recent underperformance.

U.S. Dollar (USD)

The US Dollar continues to face a challenging outlook amid economic uncertainty, tariff tensions, and mixed messages from the White House. Recent data points to slowing growth, softer inflation, and potential labour market weakening, all of which could increase pressure on the Federal Reserve to cut rates. Although the Dollar received brief support from political developments and safe-haven demand, broader sentiment remains cautious, with persistent recession fears weighing on the outlook.