Pound (GBP) weakens amid growth worries
The pound (GBP) moved lower throughout yesterday’s session as concerns over the UK’s economic outlook lingered following Friday’s underwhelming GDP figures.
Adding to the pressure on Sterling were projections from Goldman Sachs suggesting the Bank of England (BoE) could still implement two interest rate cuts in 2026.
With no significant UK data releases scheduled, the pound may struggle to establish a clear direction in the near term.
Euro (EUR) supported by softer USD
The euro (EUR) edged higher on Monday, with much of its strength stemming from its inverse relationship with the US dollar (USD).
A decline in energy prices during Monday’s session also helped to bolster the single currency.
Germany’s upcoming ZEW economic sentiment survey could weigh on the euro today, as expectations point to a sharp deterioration in confidence amid ongoing Middle East tensions.
US dollar (USD) falls as haven demand fades
The US dollar (USD) started the week on the back foot as improving market sentiment reduced demand for the safe-haven currency.
This downward pressure was compounded by data showing a notable slowdown in US industrial production in February.
Looking ahead, the US dollar may trade within a limited range today as investors hold back ahead of the Federal Reserve’s forthcoming interest rate announcement.
Canadian dollar (CAD) pressured by weaker oil prices
The Canadian dollar (CAD) declined on Monday, weighed down by a pullback in oil prices and a softer-than-expected domestic inflation reading.
The ‘loonie’ could remain under pressure today if crude prices continue to slip below the $100 per barrel mark.
Australian dollar (AUD) steady despite RBA hike
The Australian dollar (AUD) traded in a narrow range overnight on Monday, as markets had largely anticipated the Reserve Bank of Australia’s (RBA) rate increase and were caught off guard by the close 5–4 vote among policymakers.
New Zealand dollar (NZD) retreats amid cautious sentiment
The New Zealand dollar (NZD) weakened in overnight trading as a more cautious market tone dampened demand for the risk-sensitive ‘kiwi’.
Never miss a movement. Create a free account with TorFX to get the latest currency news delivered straight to your inbox. You can also set up rate alerts and check live rates 24/7.