The British Pound (GBP) edges higher against the Canadian Dollar (CAD) on Wednesday, reversing earlier losses as markets digest the Bank of England’s (BoE) latest monetary policy decision. At the time of writing, GBP/CAD trades near 1.8478, rebounding from a daily low around 1.8384.

The United States (US) Bureau of Labor Statistics (BLS) will publish the all-important Consumer Price Index (CPI) data for November on Thursday at 13:30 GMT.

EUR/USD has been rejected at 1.1750 and trades lower for the third consecutive day, changing hands at 1.1715 at the time of writing, but still within the weekly range, above 1.1700.

The British Pound (GBP) strengthens against the Japanese Yen (JPY) on Thursday in the initial reaction to the Bank of England’s (BoE) monetary policy announcement. At the time of writing, GBP/JPY trades around 208.40, edging modestly higher after finding support near an intraday low of 207.87.

The European Central Bank (ECB) is holding its last two-day meeting of the year and will announce its monetary policy decision on Thursday.

The Euro accelerated its decline from levels near 0.8800 against the Pound Sterling, to reach intra-day lows near 0.8750 at the time of writing, with the weekly low of 0.8745 at a short distance.The Bank of England met the market’s expectations and cut its Bank Rate by 25 basis points to 3.75% on Th

The Pound Sterling (GBP) attracts significant bids and turns positive against its major currency peers on Thursday, following the Bank of England’s (BoE) interest rate decision. As expected, the BoE has cut its interest rates by 25 basis points (bps) to 3.75% from 4%, with a 5-4 majority.

The Bank of England announced on Thursday that it lowered the policy rate by 25 basis-points (bps) to 3.75% following the December meeting. This decision came in line with the market expectation.

The New Zealand Dollar has failed to draw any significant support from the strong New Zealand GDP figures and is losing ground against the US Dollar. The pair is hovering right above the 0.5755 support area at the time of writing, after having peaked at 0.5830 last week.

Gold (XAU/USD) consolidates with modest losses on Thursday as traders trim exposure ahead of the US inflation report. At the time of writing, XAU/USD is trading around $4,325, remaining confined to the familiar range that has dominated price action so far this week.

United Kingdom BoE MPC Vote Rate Hike meets expectations (0)

United Kingdom BoE MPC Vote Rate Unchanged meets forecasts (4)

United Kingdom BoE Interest Rate Decision in line with expectations (3.75%)

Mexico Retail Sales (MoM) registered at 0.4% above expectations (0.3%) in October

Mexico Retail Sales (YoY) above expectations (3%) in October: Actual (3.4%)

NZD/USD slipped to 0.5766 as markets digest New Zealand’s stronger-than-expected Q3 GDP growth of 1.1% q/q.

The US Dollar (USD) steadied near yesterday’s highs as investors focus on today’s November CPI release. Fed Governor Waller’s dovish comments highlight that policy rates remain above neutral, keeping the door open for future easing despite sticky inflation around 3% y/y, BBH FX analysts report.

EUR/USD trades above 1.1700 as markets await today’s European Central Bank (ECB) meeting. The central bank is expected to keep rates at 2.00%, with President Lagarde’s remarks on future hikes likely to influence the euro’s near-term direction, BBH FX analysts report.

GBP/USD trades cautiously above 1.3310 as markets brace for today’s Bank of England meeting. A 25bps cut to 3.75% is widely expected, with a tight 5-4 vote likely, while guidance signaling gradual further easing could pressure the pound on crosses, BBH FX analysts report.

The USD/JPY pair trades higher around 156.00 during the European trading session on Thursday. The pair gains as the US Dollar (USD) rises ahead of the United States (US) Consumer Price Index (CPI) data for November, which will be published at 13:30 GMT.

The US Dollar bounced from three-month lows around 1.3730 against its Canadian Counterpart earlier this week, but has failed to find acceptance above the 1.3800 line.

The Indian Rupee (INR) moves higher against the US Dollar (USD) after a flat opening on Thursday. The USD/INR pair drops to near 90.50 amid expectations that the Reserve Bank of India (RBI) could intervene again to support the Indian Rupee.

Gold price (XAU/USD) trades 0.4% lower to near $4,320 during the European trading session on Thursday, though it remains close to its all-time high of $4,381.

The Dollar Index (DXY) found support at 98.000 following November’s weak payrolls report, which confirmed ongoing labor market softness but was not weak enough to prompt an early Fed rate cut.

USD/JPY remains supported above the 155 level as markets await the Bank of Japan’s policy update.

The Pound Sterling (GBP) has continued to trade at weaker levels ahead of today’s Bank of England (BoE) policy meeting following the release yesterday of the much weaker than expected UK CPI report for November, MUFG's FX analyst Lee Hardman reports.

The European Central Bank (ECB) is expected to keep rates on hold today, emphasizing that policy is in a 'good place' as stronger activity, wage, and inflation data lift euro-zone short-term rates.

Eurozone Construction Output w.d.a (YoY) increased to 0.5% in October from previous -0.3%

Eurozone Construction Output s.a (MoM) increased to 0.9% in October from previous -0.5%

The US Dollar (USD) traded in a subdued range overnight as markets await tonight’s November CPI report, which could sway expectations for 2026 rate cuts.