The pound is expected to strengthen in the future, as the Bank of England (BoE) is making efforts to reduce inflation to 2%. Additionally, reduced hiring is a result of decreased business activities, with the business activity remaining below the 50.0 threshold as employers remain concerned about the UK's economic outlook and higher borrowing costs.

Data from the UK's Office for National Statistics (ONS) reports a three-month consecutive increase in layoffs, reflecting internal uncertainties in the country.

The weak economy and consumer spending have led the BoE to keep interest rates steady in recent meetings, with expectations of the same in the next meeting. BoE's Andrew Bailey is confident that inflation rates will be clearly reduced in October.

The Japanese yen has strengthened in the past day as investors anticipate the Japanese Ministry of Finance (MOF) to intervene in the foreign exchange market to support a stronger yen and benefit imports.