GBP: The British Pound weakened against other major currencies last week, slipping after the first budget from the new Labour government left markets underwhelmed. All eyes are now on Thursday’s Bank of England meeting, where a 25-basis-point rate cut is widely expected. While this move is anticipated, any indications of another cut in December could impact the Pound. That said, recent budget developments have lowered the likelihood of further cuts, offering some support for the currency.

EUR: The Euro gained strength against a range of currencies last week, buoyed by positive economic data from the Eurozone. Reports indicated stronger-than-expected GDP growth in the third quarter, reducing the chances of substantial rate cuts by the ECB in December. Additionally, inflation rose to 2% in October, further influencing expectations around rate decisions. Investors are now focused on upcoming manufacturing data and statements from ECB officials for more insight on interest rates.

USD: The U.S. Dollar slipped after Friday’s disappointing nonfarm payrolls report, suggesting a gradual slowdown in the U.S. labor market. Adding to the uncertainty, upcoming elections show a tight race between Donald Trump and Kamala Harris, with polls close ahead of tomorrow’s vote. Meanwhile, markets are also preparing for a possible 25-basis-point rate cut by the Federal Reserve later this week.