Last week, central bank communications to the market caused a weaker USD and stronger EUR, GBP, and other EM currencies. The Federal Reserve voted unanimously to pause rate hikes but revised upward their dot plots, causing ambiguity. The European Central Bank raised interest rates to 4%, the highest level since the financial crisis, and warned that this rate-hike saga may continue through summer. Meanwhile, the Bank of England has been clear on its hawkish path, having raised interest rates 12 successive times since December 2021. The market's expectations will increase and confidence will be reflected in economic data.