Published: 29/05/2026 By ECAP
CAUTIOUS TRADING
The British Pound traded in a narrow range on Thursday, finding little support as investors remained cautious about the UK economy. A lack of major UK data left the Pound without clear direction, while concerns over weaker growth and labour market challenges limited demand. Attention is now turning to comments from Bank of England Governor Andrew Bailey, with markets watching for signals on future interest rate plans and the wider economic outlook.
The Euro gained support on Thursday after stronger than expected economic sentiment data suggested businesses and consumers across the Eurozone remain more resilient than feared. Confidence was also boosted by expectations that the European Central Bank could continue raising interest rates to tackle inflation. Investors are now focused on upcoming German inflation figures, which may influence expectations for future policy decisions and help determine the Euro’s near-term direction.
The US Dollar traded in a narrow range on Thursday after weaker than expected economic growth data reduced confidence in the strength of the US economy. Earlier support from rising Middle East tensions and safe-haven demand faded following the softer GDP revision. Investors are now focused on upcoming US inflation data, which could shape expectations for future Federal Reserve policy, while geopolitical developments are likely to continue influencing market sentiment.
Data supplied by GC Partners