Daily FX Report – Risk Fluctuations

GBP: The British Pound remained relatively unchanged this morning after the release of the UK’s second-quarter GDP data. The GDP grew by 0.5% quarter-on-quarter, slightly below the forecasted and previous growth rate of 0.6%. In the coming days, with no major UK economic reports expected, the Pound’s movements may be influenced by broader market risk factors.

EUR: The Euro continues to face pressure due to the increasing likelihood of another interest rate cut by the ECB in October. Lower-than-expected inflation in France and Spain has strengthened expectations of a third rate cut in the ECB’s current easing cycle. Investors will likely focus on upcoming economic data from Germany for further insights.

USD: The U.S. Dollar is struggling to attract demand on the final trading day of the third quarter. Investors will be watching several Federal Reserve policymakers, including Chairman Jerome Powell, who are set to give speeches today. Looking ahead, U.S. PMI data will be released on Thursday, followed by Friday’s key non-farm payroll report.