EUR/GBP trades around 0.8715 on Monday at the time of writing, slightly lower for the day. The cross pauses following the previous session’s gains, as the Pound Sterling (GBP) benefits from a cautious yet relatively firm tone surrounding the monetary policy outlook of the Bank of England (BoE).

The US Dollar is ticking lower against a moderately firmer Japanese Yen on Monday, yet with downside attempts contained above 156.00.

The AUD/USD pair retraces to near 0.6700 during the European trading session on Monday from its over-a-year high of 0.6727 posted earlier in the day.

NZD/USD trades around 0.5810 on Monday at the time of writing, down 0.40% on the day, marking a third consecutive day of losses.

Silver (XAG/USD) has lost more than $10 since hitting a fresh record high near $86.00 on Monday’s early trading. The precious metal has retreated to levels in the $74.00 area at the time of writing, weighed by comments by US President Trump about the chances of a peace deal in Ukraine.

The USD/CAD pair trades 0.18% higher to near 1.3700 during the European trading session on Monday. The Loonie pair gains as the Canadian Dollar (CAD) is under pressure amid thin liquidity in markets at the start of a holiday-shortened week.

The Pound Sterling (GBP) trades calmly against its major peers at the start of the last week of 2025, holding steady around 1.3500 against the US Dollar (USD). The British currency remains broadly firm as investors expect the Bank of England (BoE) to follow a moderate monetary easing cycle in 2026.

The Yen is trimming recent losses against its main peers on Monday, which has triggered a nearly 100-pip reversal on the GBP/JPY. The pair is trading near 210.50 at the time of writing after pulling back from session highs at 211.43.

USD/JPY retraces its recent gains registered in the previous session, trading around 156.10 during the European hours on Monday. On the daily chart, technical analysis indicates the 14-day Relative Strength Index (RSI) sitting at 52.80 (neutral) after easing from recent readings.

EUR/USD is trading lower for the fourth consecutive day on Monday, changing hands near 1.1770 after having peaked at levels right above 1.1800 last week, as the US Dollar (USD) recovers slightly in a calm trading session.

EUR/GBP inches lower after registering gains in the previous session, trading around 0.8720 during the early European hours on Monday. The currency cross depreciates as the Pound Sterling (GBP) gains on a cautious tone surrounding the Bank of England’s (BoE) policy outlook.

The EUR/JPY cross attracts some sellers to around 183.80 during the early European session on Monday. The Japanese Yen (JPY) strengthens against the Euro (EUR) as the Bank of Japan’s (BoJ) Summary of Opinions from the December policy meeting reinforced expectations of continued tightening in 2026. 

Here is what you need to know on Monday, December 29:

The USD/CHF pair edges up to near 0.7900 during the late Asian trading session on Monday. The Swiss Franc pair trades mildly higher as the US Dollar (USD) ticks up, with the US Dollar Index (DXY) rising to near 98.15.

The GBP/USD pair loses momentum near 1.3485 during the early European session on Monday, pressured by renewed US Dollar (USD) demand. The potential downside for a major pair might be limited, as the Bank of England (BoE) guided that monetary policy will remain on a gradual downward path.

The Indian Rupee (INR) opens mildly lower against the US Dollar (USD) at the start of the last week of 2025.

EUR/USD loses ground for the fourth consecutive session, trading around 1.1760 during the Asian hours on Monday. On the daily chart, technical analysis indicates a weakening bullish bias, as the pair tests to break below the lower boundary of the ascending channel pattern.

NZD/USD remains subdued for the third successive session, trading around 0.5830 during the Asian hours on Monday. The pair edges lower as the US Dollar (USD) recovers daily losses on technical grounds.

USD/CAD depreciates for the second successive session, trading around 1.3660 during the Asian hours on Monday.

The Australian Dollar (AUD) rises against the US Dollar (USD) on Monday, maintaining its position around a 14-month high of 0.6724, reached on December 26.

USD/JPY loses ground after registering modest gains in the previous session, trading around 156.20 during the Asian hours on Monday.

GBP/USD edges lower after a gap-up open, trading around 0.7410 during the Asian hours on Monday. However, the pair may gain ground as the US Dollar (USD) faces challenges, which could be attributed to growing expectations of two more rate cuts by the Federal Reserve (Fed) in 2026.

The EUR/USD pair trades in positive territory around 1.1775 during the early Asian session on Monday. The prospect of a US Federal Reserve (Fed) rate cut in 2026 weighs on the US Dollar (USD) against the Euro (EUR).

The Bank of Japan (BOJ) will publish its report on Sunday at 23:50 GMT. This report includes the BOJ's projection for inflation and economic growth. It is scheduled 8 times per year, about 10 days after the Monetary Policy Statement is released.

The Canadian Dollar (CAD) holds modest gains against the US Dollar (USD) on Wednesday, even as the Greenback trades firm amid limited movement as markets drift into holiday mode. At the time of writing, USD/CAD is trading around 1.3675, hovering near its lowest level since July 25.

The British Pound (GBP) softens against the US Dollar (USD) on Wednesday, with the Greenback finding mild support amid reduced liquidity during the shortened US holiday session.

The British Pound (GBP) trades slightly lower against the Japanese Yen (JPY) on Wednesday, though thin holiday trading conditions are keeping price action contained within a tight range.

EUR/GBP trades in negative territory around 0.8725 on Wednesday at the time of writing, extending a sequence of declines that began earlier in the week. The pair remains under pressure as the Pound Sterling (GBP) benefits from the Bank of England’s (BoE) relatively hawkish communication.

The USD/CHF pair extends its losing streak for the third trading day on Wednesday.

The USD/JPY pair trades 0.23% lower to near 155.80 during the European trading session on Wednesday. The pair extends its losing streak for the third trading day on Wednesday, which started after failing to gain further above an almost 11-month high near 158.00.