Published: 16/04/2026 By ECAP
GROWTH BOUNCE
The British Pound is a touch firmer after stronger-than-expected UK growth data, which showed the economy picked up before the recent surge in energy prices. The reaction has been modest, as markets remain focused on the outlook rather than past data. With higher oil and gas prices expected to weigh on households and growth, the Pound may struggle to build on gains despite the positive surprise.
The Euro is edging higher as sentiment improves on hopes that the US and Iran could extend a ceasefire and return to talks. That’s helping support risk appetite and pushing investors back into the currency. Gains remain steady rather than sharp, with markets still cautious given the uncertainty around energy supply. For now, the Euro is tracking the broader improvement in sentiment.
The US Dollar is slightly softer as markets continue to favour riskier assets. Signs that tensions may ease, alongside hopes of further talks, are reducing demand for safe-haven currencies. The move has been gradual rather than aggressive, as uncertainty remains around how the situation develops. For now, the Dollar is on the back foot, but still sensitive to any shift in headlines.
Data supplied by GC Partners