Weekly market headlines:
The US dollar has softened against both the pound and the euro this week, partly due to easing trade tensions. The US has now stepped back from some of its planned tariffs on the EU, news that’s helped strengthen the euro and the pound in the short term.
At the same time, US inflation has fallen slightly, and markets now expect two interest rate cuts in the US before the end of the year. These shifts are weakening the dollar and could create a short window of opportunity if you’re sending money abroad from GBP to USD.
In the UK, despite some signs of inflation easing, only one rate cut is expected in 2025, meaning the pound may hold firm for now.
But it’s the Eurozone that could see bigger movement this week:
- The European Central Bank meets Thursday to decide on interest rates
- Inflation and unemployment data are due tomorrow
If you’re planning a transfer this week, whether it’s a property payment, investment, or sending money to family speak to a Lumon currency specialist today. Call +44 (0)204 506 5672 to explore your options.
