Pound Sterling (GBP)

The British Pound weakened during yesterday’s (with the exception being against the Dollar) European trading session following the release of disappointing UK services PMI data. The final figures for March indicated that growth in the vital services sector was slower than initially anticipated, raising concerns among economists about possible stagnation in the UK economy during the first quarter. With no major UK economic reports scheduled for today, the Pound’s movements are expected to be influenced by shifts in overall market sentiment.

Euro (EUR)

The Euro gained strength against both the Pound and Dollar. This movement was driven by fears of a U.S. recession and inflationary pressures stemming from newly announced tariffs. The European Union’s proactive stance, including potential fiscal measures to counteract trade disruptions, has bolstered confidence in the Eurozone economy.

U.S. Dollar (USD)

The U.S. dollar continued to weaken yesterday,, weighed down by concerns over President Trump’s steep tariffs on imports from multiple countries. Analysts fear these policies could exacerbate inflation and push the U.S. economy closer to recession. Safe-haven currencies like the Japanese yen and Swiss franc gained favour as traders moved away from the Dollar amidst heightened uncertainty. Nonetheless, this morning the Dollar seems to have gained some ground against a weaker Sterling, reversing much of the gains GBPUSD saw yesterday.