RECAP
Currency markets remained relatively subdued during yesterday’s trading session, with traders awaiting fresh developments on trade tariffs and focusing on the upcoming Senate vote on the U.S. tax reform bill.
The British pound held steady near three-year highs against the U.S. dollar, maintaining its recent strength.
The euro experienced modest losses as market participants reassessed expectations for European Central Bank policy, amid rising speculation that further rate cuts may be necessary to support inflation. Sentiment toward the euro was further dampened by data indicating an unexpected slowdown in Eurozone business activity this month.
The U.S. dollar posted slight gains, supported by position adjustments ahead of the Senate’s vote on President Trump’s tax reform package.
