The euro has reached seven-month highs ahead of a significant US inflation report, indicating a strong performance in the currency market. Meanwhile, the British pound has shown resilience, climbing to a three-week high following the release of positive GDP data. Analysts have noted that the pound's recent surge reflects recovering market sentiment. The euro is currently holding above $1.10, while the pound has strengthened slightly against the US dollar, showcasing a favorable trend in the foreign exchange market.