As investors considered recent UK retail data, the pound reached a two-year high against the euro on Friday. However, as markets became more dovish about the Bank of England’s monetary policy outlook and the US Federal Reserve finalised a lesser interest-rate decrease, the British pound is still trading near a one-month low against the US dollar.
After the ECB’s interest rate decision last week, the Euro is having trouble attracting market attention this morning. As markets continue to process the most recent ECB monetary policy meeting, the bloc’s single currency is really likely to stay weak because there aren’t any significant economic data releases planned for today.
The U.S. Dollar fell slightly in Asian trade but remained close to its strongest levels since early-August. The recent rally came as the greenback was boosted by increasing conviction that U.S. interest rates would fall at a slower pace than initially expected, especially as recent data showed the U.S. economy remained strong.
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