GBP/USD is experiencing modest gains, hovering around 1.3500 during the early hours of Thursday’s Asian session. US CPI inflation exhibited modest levels in July, leading to a reduction in expectations for a rate hike by the Federal Reserve in September. Traders are poised for the release of the UK Q2 GDP and US PPI reports … Read more
Markets exhibit a divergence of opinions regarding a potential Fed rate hike in September, particularly in anticipation of significant inflation data releases. Rising oil prices and shifting diplomatic signals over the Strait of Hormuz contribute to increased market volatility. Scotiabank observes that the recent fluctuations in the Pound are predominantly influenced by market sentiment, closely … Read more
GBP/USD begins the week of 10–14 August positioned around 1.3500, marking its peak since 15 July. Sterling is capitalising on the momentum generated by a significant drop in the dollar, triggered by a disappointing US labour market report that has diminished expectations for a Federal Reserve rate increase in September. Further support has emerged from … Read more
Scotiabank analysts caution that the diminishing yield spreads between the UK and US are undermining the fundamental support for the British pound. Rising oil prices have rekindled concerns regarding stagflation in the UK, presenting a complex challenge for the Bank of England. Safe-haven demand stemming from the escalating tensions in the Strait of Hormuz has … Read more
GBP/USD declines as the US Dollar receives backing from a recovery in 10-year US Treasury yields. Easing tensions in the Strait of Hormuz diminishes the demand for safe-haven assets, a development attributed to diplomatic advancements between the US and Iran. Markets reduced expectations for a 2026 interest rate increase following indications from the Bank of … Read more
GBP/USD softens to approximately 1.3425 in the early Asian session on Tuesday. Trump asserts that discussions with Iran are in progress; however, Iran refutes any claims of negotiations occurring. In July, the US ISM Manufacturing PMI increased to 55.6, surpassing expectations. The GBP/USD pair experiences a decline, approaching 1.3425 in the early Asian session on … Read more
GBP/USD declines even with a softer US Dollar, as Trump’s halted strikes have enhanced diplomatic prospects between the US and Iran. President Trump indicated that nations in the Middle East have sought additional time to conclude an agreement with Iran. The Bank of England indicated potential interest rate increases should uncertainties stemming from the US-Iran … Read more
GBP/USD declines as a hawkish Federal Reserve pause and internal FOMC divisions strengthen the US Dollar. The Greenback may face challenges as easing risk aversion is influenced by recent diplomatic developments between the US and Iran. TD Securities observed a nuanced surprise from the Bank of England, as a 6-3 vote, featuring a hawkish dissent, … Read more
The GBP/USD experiences a decline as the US Dollar maintains its strength in anticipation of a highly uncertain Federal Reserve rate decision. Declining crude prices contribute to a reduction in UK 10-year gilt yields, simultaneously alleviating short-term inflation concerns. Markets expect the Bank of England to maintain interest rates at 3.75% during Thursday’s meeting. GBP/USD … Read more
GBP/USD moves up to about 1.3385. UK CPI inflation decreased more than anticipated to 2.6% in June. US initiated new military actions while Iran cautioned about potential regional instability. The GBP/USD pair rebounds to near 1.3385 during the Asian trading hours on Thursday. However, the potential upside for the major pair may be constrained in … Read more
