GBP: The British Pound strengthened against most currencies yesterday after the release of the UK’s latest labour market data. The unemployment rate dropped to 4.1% in July, down from 4.2%, supporting the GBP. The Pound remained steady as markets have started to consider that Bank of England may maintain its current interest rate in next week’s decision by a slim margin.

EUR: This morning, the Euro is under renewed pressure following the release of Germany’s final consumer price index for August, confirming that inflation fell below the European Central Bank’s 2% target. With inflation in Germany, the Eurozone’s largest economy, continuing to ease, speculation of an ECB rate cut has grown just two days ahead of their decision, weakening the EUR.

USD: The U.S. Dollar dipped slightly overnight, following a heated debate between Kamala Harris and Donald Trump. Additionally, the greenback softened ahead of key inflation data due later today, which is expected to provide further insights on future interest rate moves.