Published: 11/12/2025 By ECAP
FED AFTERMATH
The British Pound is firmer this morning after the Dollar weakened following last night’s Federal Reserve decision. Sterling has remained stable since the Autumn Budget, with markets still encouraged by signs of fiscal discipline. With no major UK data today, the Pound’s direction will come from broader market moves as traders look ahead to next week’s UK growth and labour figures.
The Euro is stronger as EUR/USD pushed toward an eight week high. A softer Dollar helped support the move, while recent comments from ECB officials expressing confidence in the path of inflation have also offered support. With little Eurozone data today, the Euro is expected to take its lead from US market developments and overall risk appetite.
The U.S. Dollar is weaker this morning after the Federal Reserve lowered its benchmark interest rate to 3.50 to 3.75 percent. The decision came with a rare three way split among policymakers, highlighting differing views on the economic outlook. Markets reacted with a Dollar sell off as traders reassessed expectations for the months ahead. Attention now turns to today’s US jobless claims and trade figures for further guidance.
Data supplied by GC Partners