GBP: Yesterday, the British Pound gained strength against safer currencies as improved market conditions led investors to buy GBP, which has become more sensitive to risk. However, its growth was limited by the release of the latest consumer sentiment index from the British Retail Consortium, which caused the Pound to remain stagnant against other risk-sensitive currencies.

EUR: Meanwhile, the Euro struggled against most of its peers despite positive economic data from the Eurozone’s largest economy. The data did not boost the currency significantly because the slight improvement was perceived as merely a “stabilization at a low level,” which actually weakened the Euro.

USD: The U.S. Dollar declined against most major currencies following a more cautious approach from the Federal Reserve. According to Capital Economics, the Dollar could face further losses, with a potential Trump victory adding uncertainty. This narrative overshadowed yesterday’s strong U.S. economic data and deterred investors from making new bets on the Dollar.