The Pound lost some of its gains on Thursday following dovish comments from the Bank of England.
The comments related to dangerous inflationary pressures while the BoE Governor claimed that the rise in inflation is transitory. Adding to the pressure was the final manufacturing PMI which came in lower than expected and that caused the currency to drop. It finished the day at 1.1615 against the Euro and 1.376 against the US Dollar according to the Foreign Exchange Market.
The Euro pushed higher yesterday against the majority of its peers, as the Eurozone and German manufacturing PMI came in better than expected. These figures highlighted an increase in factory activity and made it 12 months of expansion in the manufacturing sector. However, growing coronavirus cases could add pressure to the single currency today.
It was a day of mixed training for the US Dollar as it dipped before making gains. The dip came during the wait for the latest data released with the improved initial jobless claims figure helping to bolster the safe-haven currency. The US Dollar was also supported by the ISM manufacturing PMI even though it came in below forecasts.