The Pound Sterling faced downward pressure against the US Dollar on Thursday, following the release of strong US retail sales and jobless claims data. The US Dollar Index, which tracks the Greenback’s value against six major currencies, reached a new 10-week high.

Rising expectations for former US President Donald Trump’s victory in the upcoming presidential election also boosted the US Dollar. Investors anticipate a Trump administration would implement looser financial policies, higher import tariffs, and tax cuts.

Meanwhile, the Pound Sterling has been struggling to recover after a significant sell-off triggered by weaker-than-expected UK inflation data. The decline in inflation has led to increased expectations for the Bank of England to cut interest rates.

Key Points:

• Strong US Data: Upbeat US retail sales and jobless claims data supported the US Dollar.
• Rising Dollar: Expectations for a Trump presidency and a potential Fed rate cut boosted the US Dollar.
• Pound Sterling Weakness: The Pound Sterling has been under pressure due to weaker UK inflation and expectations for a BoE rate cut.