Brown Brothers Harriman’s (BBH) Elias Haddad reports EUR/USD is consolidating after a rally driven by stronger-than-expected Eurozone Q2 GDP at 0.4% quarter-on-quarter.

The British Pound (GBP) drops against its major currency peers after the Bank of England’s (BoE) monetary policy decision. The GBP/USD pair edges lower from its intraday high of 1.3405 to near 1.3380; however, the initial reaction from the pair was slightly positive.

Societe Generale strategists analyzes- the Bank of England’s (BoE) upcoming meeting, expecting Bank Rate to remain at 3.75% with some hawkish dissent. They note easing inflation expectations and a loosening labour market, but also higher energy prices and government income support.

Rabobank Senior FX Strategist Jane Foley discusses GBP/USD following the latest Federal Reserve (Fed) decision and ahead of the Bank of England (BoE) meeting. She expects GBP/USD to trade around 1.32–1.33 over the next one to three months.

Commerzbank’s Volkmar Baur expects the Bank of Japan to keep its overnight call rate unchanged, as fully priced by markets. The focus is on guidance, with inflation around 2% and leading indicators pointing higher.

The Euro (EUR) claws back its early losses and turns almost flat against the Japanese Yen (JPY) after the release of preliminary German Q2 Gross Domestic Product (GDP) and inflation data for its six states.

The USD/CAD pair attracts some buyers on Thursday and, for now, seems to have snapped a two-day losing streak to a more than one-week low, around the 1.4025-1.4020 area touched the previous day.

According to Eurostat, Eurozone Gross Domestic Product (GDP) growth turns positive in the second quarter this year after declining 0.2%  in the previous quarter. The GDP growth arrives at 0.4%, faster than estimates of 0.2%.

The GBP/USD pair meets with fresh supply on Thursday and retreats further from the weekly high, around the 1.3385-1.3390 region, touched the previous day.

The Euro (EUR) nudges down against the US Dollar (USD) on Wednesday, despite a mild uptick following stronger-than-expected German Gross Domestic Product (GDP) data.

Chris Turner at ING writes that EUR/USD bounced modestly after the FOMC but was constrained by higher long-dated US yields and pressure on US growth stocks.

The Swiss Franc (CHF) remains on the defensive against the US Dollar (USD) Thursday despite the unexpected improvement of Swiss leading indicators.

MUFG's Derek Halpenny notes that the British Pound (GBP) has been the strongest G10 currency after the US Dollar (USD) since the Middle East conflict began, with attention now on the Bank of England’s (BoE) July decision.

The AUD/USD pair struggles to capitalize on the previous day's late rebound from the 0.6920 region, or an over two-week low, and seesaws between tepid gains/minor losses through the early European session on Thursday.

The NZD/USD pair gathers strength to near 0.5810 during early European trading hours on Thursday, bolstered by the Reserve Bank of New Zealand (RBNZ) rate hike bets.

The USD/JPY pair trades 0.1% higher at around 163.60 during the European trading session on Thursday. The pair rises as the US Dollar (USD) regains ground due to intensifying military aggression between the United States (US) and Iran.

Here is what you need to know on Thursday, July 30:

Commerzbank’s FX Research team, including Charlie Lay and colleagues, notes that the Dollar Index fell and EUR/USD climbed after the Federal Reserve left rates unchanged but revealed a significant internal split.

The Euro (EUR) has eased from fresh four-week highs at 0.8585 against the British Pound (GBP) on Thursday, but maintains its bullish trend intact with price action standing above previous highs.

The USD/CAD pair trades in positive territory near 1.4050 during the early European session on Thursday. The US Dollar (USD) strengthens against the Canadian Dollar (CAD) on hawkish signals from the US Federal Reserve (Fed).

The Euro (EUR) trades marginally lower to near 1.1455 against the US Dollar (USD) during the early European trading session on Thursday.

The GBP/USD pair attracts some sellers to near 1.3345 during the early European trading hours on Thursday. The US Dollar (USD) edges higher against the British Pound (GBP) amid hawkish Federal Reserve (Fed) signals and escalating Middle East tensions.

The Indian Rupee (INR) ticks higher against the US Dollar (USD) in the opening session on Thursday. The USD/INR pair edges down to near 95.60, with the Indian currency giving a tough fight to higher United States (US) Treasury Yields.

The GBP/JPY cross struggles to capitalize on the previous day's solid bounce from the 217.15 area, or a two-week low, and meets with some supply during the Asian session on Thursday.

The USD/CHF pair regains positive traction on Thursday, rebounding from a one-week low and stalling its retracement slide from over a one-year high – levels just above the 0.8200 mark.

EUR/JPY depreciates after two days of gains, trading around 187.20 during the Asian hours on Thursday. The currency cross is maintaining a bullish near-term bias as it holds above both the nine-day and 50-day Exponential Moving Averages (EMAs).

Silver price (XAG/USD) depreciates after registering modest gains in the previous day, trading around $57.90 per troy ounce during the Asian hours on Thursday.

The AUD/USD pair turns lower following a modest Asian session uptick to the 0.6965 region on Thursday amid the emergence of some US Dollar (USD) dip-buying.

The USD/JPY pair posts modest gains near 163.50 during the Asian trading hours on Thursday. The US Dollar (USD) strengthens against the Japanese Yen (JPY) on a hawkish hold from the US Federal Reserve (Fed).

The USD/CAD pair is seen consolidating below mid-1.4000s during the Asian session on Thursday, though it remains close to an over one-week trough touched the previous day.