The market is still reacting to the fall-out from the G7 meeting with US Treasury Secretary, Henry Paulson, visiting China. Mr Paulson is expected to address the question of the Chinese yuan, artificially pegged by the Chinese regime.

GBP
The sterling ended down against the dollar and euro as traders focused on the release of BoE's minutes from its September policy meeting. Comments from officials at ECB had the pound on the back foot as higher eurozone rates are now seen as a formality.

USD
The dollar pulled back from seven-week highs against the euro after ECB officials signalled that interest rates are set to be raised further.

EUR
Comments from ECB policymakers are forcing investors to rethink just how high interest rates may go. Traders have interpreted these remarks as the strongest signal yet that the ECB will raise interest rates again in October.

JPY
The yen came under pressure versus the euro after Japanese Finance Minister repeated that the yen's weakness against the euro was not discussed at the G7. The yen also lost ground against the dollar, hitting the lowest levels since April.

Sign up to our free newsletters

Get the best updates straight to your inbox:
Please select at least one mailing list.

You can unsubscribe at any time by clicking the link in the footer of our emails. We use Mailchimp as our marketing platform. By subscribing, you acknowledge that your information will be transferred to Mailchimp for processing.