Pippo

Six central banks, a war in the Middle East, and a triple-witching Friday — the currency market had no shortage of catalysts to chew through this week.

This week delivered something rare in modern markets: six of the world’s biggest central banks announced their policy decisions within days of each other. How did it all play out?

The BOE voted unanimously to keep Bank Rate on hold at 3.75% at its March 2026 meeting thanks to a sharp spike in global energy prices triggered by conflict in the Middle East.

Thursday’s session saw gold plunge over 3%, the U.S. dollar post one of its sharpest declines since the Iran war began, as central banks struck hawkish tones.

The Fed held rates steady in March, but markets moved as traders reacted to hawkish signals pointing to higher rates sticking around longer.

The Bank of Canada kept its policy rate unchanged at 2.25% for the fifth consecutive meeting, citing a deteriorating growth outlook and rising inflation risks stemming from the conflict in the Middle East.

The Fed held rates steady while flagging stickier inflation tied to the Middle East conflict, sending the dollar to highs as equities, gold, and Bitcoin fell sharply.

U.S. wholesale prices jumped 0.7% in February, beating forecasts and hitting 3.4% year-over-year. The dollar rallied initially but gave back gains ahead of the Fed decision.

Canada’s inflation just hit its target, but between stale data and surging oil prices, that milestone may already be moot.

With rates on hold at 3.75% and the focus squarely on the MPC vote count and Bailey’s tone, here’s how Sterling traders can position for the outcome.