Had it not been for the governor of the Bank of England's comments on Thursday the dollar would have lost three quarters of a cent on the week to sterling. As it was, Mark Carney said there was no certainty of higher UK interest rates next year, let alone this. His intervention turned the pound's victory into defeat, leaving it with a net one-cent loss, equivalent to -0.7%.
The euro was even less fortunate. It, too, lost one US cent but the proportional loss was greater at -0.9%. Once again it was all about interest rate expectations. On Tuesday the European Central Bank president reminded investors that his bank could well lower euro interest rates next month. And 24 hours later the Federal Reserve chairperson reminded them that her bank could well raise them. Although investors had heard it all before, they were still motivated to buy the dollar against the euro.