Euro and British Pound Decline as Markets Anticipate Trump’s Return

The euro and British pound fell to multi-month lows against the U.S. dollar on Thursday, marking the beginning of the trading year as investors prepare for Donald Trump's return to the White House.

At around 1 p.m. in London, the euro was down by 0.33%, trading at $1.032, its lowest level since November 2022. Meanwhile, the British pound dropped 0.78% to $1.242, a low not seen in eight months.

As markets resumed trading after the holiday disruptions during Christmas and New Year, optimism regarding the U.S. economy and its stock market was prevalent. Futures for Wall Street were showing gains despite declines in European and Asia-Pacific markets. The U.S. dollar index, which compares the greenback against a basket of other currencies, also increased by 0.25%.

According to Susannah Streeter, head of money and markets at Hargreaves Lansdown, \