GBP: The British Pound found some support as house price growth unexpectedly surged in November, reaching a two-year high. Despite elevated interest rates and pressure on household budgets, strong income growth continued to fuel housing demand. This positive economic data bolstered the Pound, highlighting the UK economy’s resilience.

EUR: The Euro is under pressure against other currencies due to political instability in France, with Prime Minister Michel Barnier facing a no-confidence vote. Barnier’s potential resignation could deepen uncertainty, impacting France’s financial stability and increasing borrowing costs. However, support from the European Central Bank may help limit further losses for the Euro. Although its outlook remains unclear, if political tensions ease and fiscal reforms in France are implemented then this could help the Euro.

USD: The U.S. Dollar remains strong, bolstered by President-elect Trump’s proposed 100% tariffs on BRICS countries to counter moves that challenge the Dollar’s dominance. Investors are now turning their attention to U.S. private employment figures and Services PMI data, which may shape expectations for Federal Reserve rate decisions. For now, the Dollar Index remains stable as markets await further insights from the Fed’s Beige Book and a speech by Chair Jerome Powell.