The Euro and British Pound weakened against the US Dollar on Thursday, pressured by expectations of a hawkish Federal Reserve and the Bank of England’s decision to keep interest rates unchanged. According to FX Street, the EUR/USD pair traded around 1.1470, down 0.22% and near its lowest level in two months.
The British Pound also declined during the North American session as market participants reacted to the Fed’s hawkish stance and the Bank of England’s 7-2 vote to hold rates steady. This cautious approach from the BoE contrasted with the Fed’s anticipated tightening, putting additional pressure on the Pound Sterling, FX Street reported.
For Japanese investors and traders, these developments highlight ongoing volatility in major currency pairs, impacting FX strategies and cross-border equity flows amid shifting global monetary policies.