Pound (GBP) climbs on UK-EU food trade agreement
The pound (GBP) made modest gains against its weaker counterparts yesterday after GBP investors welcomed news that the UK and EU had reached an agreement to relax certain restrictions on food imports and exports.
However, Sterling struggled to make further progress as a quiet UK economic calendar and rising UK government borrowing costs limited demand for the currency.
This morning sees the release of the UK’s final services PMI for October. If the figures confirm that activity accelerated, the pound could receive a boost.
Euro (EUR) directionless as economic calendar remains quiet
The euro (EUR) lacked a clear direction yesterday as a shortage of fresh Eurozone economic releases left the single currency without a clear catalyst.
Meanwhile, EUR investors appeared reluctant to take significant positions ahead of today’s Eurozone consumer price index.
The October CPI figures could provide the common currency with some much-needed support today. If inflation rises as forecast, expectations of further monetary tightening from the European Central Bank (ECB) could strengthen, potentially lifting the euro.
US dollar (USD) confined to narrow range ahead of mid-term results
The US dollar (USD) traded within a limited range yesterday as Americans went to the polls for the mid-term elections.
With the outcome potentially carrying significant implications for US fiscal policy, investors were hesitant to make substantial bets on USD as voting got underway.
With much of the election result now confirmed, the Democrats have secured control of both the House and Senate, giving them control of Congress. The outcome has put the US dollar under pressure this morning.
Canadian dollar (CAD) tracks oil price movements amid US-Iran uncertainty
The crude-linked Canadian dollar (CAD) mirrored movements in oil prices yesterday, initially strengthening before losing ground later in the session as uncertainty surrounding US-Iran diplomacy weighed on the market.
Oil price movements could remain a key influence on CAD exchange rates today, with tensions between the US and Iran potentially prompting further volatility.
Australian dollar (AUD) rebounds as risk appetite improves
The Australian dollar (AUD) fell to multi-week lows overnight before recovering as a more positive market mood encouraged demand for risk-sensitive currencies.
New Zealand dollar (NZD) slumps after unemployment unexpectedly rises
The New Zealand dollar (NZD) also touched multi-week lows overnight, with the ‘kiwi’ coming under significant pressure after New Zealand’s unemployment rate unexpectedly increased in the third quarter of 2026.
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.