Published: 11/04/2025 By ECAP
The British Pound saw its sharpest weekly drop against the Euro since 2022. Despite brief attempts to recover, it remained under pressure as broader currency movements pushed it lower. In fact, the Pound struggled to hold its ground amid global shifts in sentiment. Looking ahead, upcoming UK economic data may influence the Pound’s direction, with a slight improvement in growth potentially offering a chance for stabilization.
The Euro posted strong gains this week, rising sharply against major currencies and reaching its highest level against the U.S. Dollar and the British Pound since early 2022. Its surge was driven by broad Dollar weakness and shifting global sentiment. Ultimately, the Euro’s momentum reflects growing investor confidence, as policy moves, and economic signals favour the single currency.
The U.S. Dollar fell sharply this week, hitting its lowest level in nearly three years amid growing fears of a deepening trade war with China. A sharp escalation in tariffs, recession concerns, and weaker than expected inflation data all weighed on the greenback. Moreover, market sentiment soured further as investors speculated on potential Federal Reserve rate cuts, reflecting doubts about the strength of the US economy.
Data supplied by GC Partners