The dollar is holding onto recent gains, with the Dollar Index remaining above 99.00 ahead of the highly anticipated Jackson Hole symposium. Investors are focused on remarks from Fed Chair Warsh, which could provide important guidance on the outlook for interest rates following recent discussions around inflation and growth. With major policy signals expected from Jackson Hole, markets are adopting a cautious tone, helping the greenback retain support after recovering from earlier weakness.

The euro has come under pressure this week, with EURUSD extending losses and slipping below the 1.1650 mark. Analysts suggest that the strong rally seen earlier in the month may now be entering a consolidation phase, as traders lock in profits and await fresh catalysts from the US. While the broader trend remains relatively constructive, the near-term upside appears limited, with markets increasingly focused on Jackson Hole and forthcoming US economic data rather than Eurozone developments.

Sterling continues to demonstrate resilience despite a firmer dollar backdrop. GBPUSD remains close to the 1.3600 level, with downside pressure appearing limited while the pair trades above key technical support levels. Market participants continue to favour sterling relative to several major peers, although near-term price action is likely to remain driven by developments in the US. For now, the pound remains trapped within a relatively narrow range as investors await clearer direction from central bank speakers and macroeconomic data.