GBP/USD regains traction after correction pauses [Video]
GBPUSD has been in a prolonged uptrend since October 2022 supported by its long-term ascending trendline. In the near term, the pair experienced a pullback from its 14-month high of 1.2847, but it quickly found its feet and reversed back higher. Read more …
GBP/USD Forecast: Pound Sterling hovers around 1.2700 without clear direction
GBP/USD edged lower at the beginning of the week before retracing its decline in the American session and closing the day virtually unchanged near 1.2700 on Monday. The pair moves up and down in a tight channel on Tuesday as trading conditions thin out due to the Independence Day holiday in the US.
The US Dollar (USD) weakened against its rivals on Monday after the ISM Manufacturing PMI report showed that economic activity in the manufacturing sector continued to contract in June. Additionally, the Employment Index fell below 50, pointing to a decrease in the sector’s payrolls. Meanwhile, the inflation component, the Prices Paid Index, dropped to 41.8 from 44.2. Reflecting the negative impact of the PMI survey’s on the USD’s valuation, the US Dollar Index retreated to 103.00 from the session high it set near 103.30. Read more …
Pound Sterling pursue lackluster path higher interest rates teases economic outlook
The Pound Sterling (GBP) is demonstrating choppy moves around 1.2700 as investors are awaiting key Service PMI numbers after better-than-expected Manufacturing PMI data. The GBP/USD pair is non-directional as the market mood is broadly quiet due to the Independence Day holiday in the United States. Investors would keep their entire focus on interest rate guidance from Bank of England (BoE) policymakers.
The economic outlook for the United Kingdom is still solid as demand from households is upbeat despite higher interest rates by the Bank of England. While problems or BoE policymakers and the UK government are galloping as inflation looks extremely sticky above 8.5% and tight monetary policy is failing to do the expected job. Read more …
Comments are closed.