Daily market news

GBP/USD floundered on Friday, climbing a scant 0.13% on the day as the Pound Sterling gets weighed down by broad-market expectations of a rate cut from the Bank of England (BoE) next week.

The USD/JPY dropped 0.14% on Friday as the pair recovered some ground after hitting a 14-week low of 151.93.

The Euro (EUR) is flat on the day and down only modestly on the week as it holds a neutral range trade around 1.0850, Scotiabank’s Chief FX Strategist Shaun Osborne notes.

EUR/USD rises above 1.0850 as the US Dollar (USD) declines in Friday's New York session.

The AUD/USD pair remains steady above the immediate support of 0.6520 in Friday’s New York session after the release of the mixed United States (US) Personal Consumption Expenditure Inflation (PCE) report for June.

EUR/JPY is at risk of recovering after the steep sell-off of the last two weeks has stalled.

BoE will judge the stickiness in services inflation as down primarily to one-off factors and may look at more ‘core’ measures that instead point to a less worrying picture.

USD/JPY caught a breather on Thursday, now stabilising slightly above 154.0, ING’s FX strategist Francesco Pesole notes.

Increase in momentum suggests further Pound Sterling (GBP) weakness; the major support at 1.2780 is unlikely to come into view for now, UOB Group FX analysts Quek Ser Leang and Peter Chia note.

Here is what you need to know on Friday, July 26: Following the mixed action seen in financial markets on Thursday, investors cling to a cautious stance on Friday.