GBP: The British Pound fell against the U.S. Dollar as investors responded to Donald Trump’s lead in U.S. election polls. The Dollar’s rise came as markets worried about Trump’s potential policies, such as increased tariffs and tax cuts. Meanwhile, the Pound’s movement against other currencies was mixed, with investors focusing on the Bank of England’s upcoming rate decision and potential economic effects of Trump’s policies on the UK.
EUR: The Euro dropped almost 2% against the Dollar, largely due to fears that a Trump win could lead to tariffs on European exports, harming the Eurozone economy. This uncertainty weakened the Euro, as markets anticipated the possible economic challenges a Trump presidency could pose.
USD: The U.S. Dollar reached its highest point in over a year as Trump gained popularity in the presidential race. Investors expected Trump’s policies to bring more protectionism and inflation, pushing up long-term interest rates. This outlook led to a stronger Dollar as markets braced for a more assertive economic approach under his potential leadership.