In a market environment that remains risky, the US dollar on Thursday continued to strengthen to a 13-month high while investors' attention is now focused on economic data to be published at the end of the week.
The US unemployment benefit claims data for the previous week recorded better readings than expected and the previous week.
The PMI data to be published today (Friday) will assess the manufacturing and services sectors, especially in Germany, the UK and the US.
The views of Federal Reserve (Fed) members including Chairman Jerome Powell indicate that the central bank will take a more cautious approach in lowering interest rates.
Considerations are also influenced by the Donald Trump administration's policies on taxes and tariffs, where a rebound in US inflation is expected.
Developments in Europe, European Central Bank (ECB) Chief Economist Philip Lane expressed concern over the threat to global trade after Trump takes office in the White House.
The ECB is expected to continue easing monetary policy in December, with further interest rate cuts likely to continue until June next year.
In addition, the developments in the Russia-Ukraine war remain on the radar of investors, which is influencing the current changes in market sentiment.
In the latest report, Russian President Vladimir Putin issued a warning after an attack was launched on eastern Ukraine using a new medium-range commercial missile codenamed Oreshnik.
This retaliatory attack from Russia shows that the heat of the war will not subside in the near future.
