GBP: The British Pound remained stable in yesterday’s trading session as Bank of England Governor Andrew Bailey made his first of four scheduled appearances this week. With three more appearances to come, investors will be closely watching for any recurring themes in Bailey’s speeches. His next appearance is scheduled for later this evening, after which GBP investors will shift focus to tomorrow’s UK PMI figures.
EUR: Meanwhile, the Euro continued to weaken, declining after ECB President Christine Lagarde’s speech, which offered little support for the currency. Looking ahead, the market is awaiting today’s EU-wide PMI survey results, with forecasts expecting a modest rise in October’s EU Services PMI to 51.6, up from September’s 51.4.
USD: The U.S. Dollar is in the midst of a three-week winning streak and is on track for its strongest October performance in over a decade. Investors are betting on a slower pace of Federal Reserve rate cuts, with an 85.9% probability of a 25-basis-point cut in November and a 14.1% chance that rates will remain unchanged.