Possible Ceasefire
GBP
The British Pound was broadly steady, lacking a strong domestic catalyst as an empty UK economic calendar and stable gilt markets left investors with little to drive sentiment. However, the Pound could edge higher if upcoming German trade and industrial production data disappoint, reinforcing concerns over Eurozone growth. Broader market sentiment is also likely to influence the Pound, while lower global energy prices may offer modest support.
EUR
The Euro weakened after Eurozone retail sales unexpectedly fell, raising concerns that consumer spending remains fragile and could weigh on the region’s economic growth. Although stronger German factory orders helped limit losses, attention now turns to Germany’s upcoming trade and industrial production figures. If they disappoint, the Euro could remain under pressure as investors question the strength of the Eurozone economy.
USD
The US Dollar steadied as uncertainty over a possible US-Iran ceasefire encouraged investors to remain cautious, boosting demand for the safe-haven currency. Attention now turns to the latest US jobs report, which is expected to drive market sentiment. A weaker than expected result could weigh on the Dollar, while a strong employment reading may boost confidence in the US economy and support the currency.
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