GBP/USD traded around 1.3300 during the Asian session on Wednesday (5/14), steadying after posting more than 1% gains in the previous session. However, the pair's gains may be limited as the British Pound (GBP) faces headwinds from declining employment and slowing wage growth in the UK, factors that could strengthen expectations for further interest rate cuts by the Bank of England (BoE).
This week, market participants are bracing for increased volatility in the Pound Sterling, with the release of the UK's preliminary Q1 GDP and Industrial and Manufacturing Production data on Thursday. The UK economy is expected to grow by 0.6% in the first quarter.
The recent strength in the GBP/USD pair was also driven by a weaker US Dollar (USD), which came under pressure after weaker-than-expected US inflation data. Attention now shifts to upcoming US economic releases, including the Producer Price Index (PPI) and the University of Michigan's Consumer Sentiment Survey, both due later this week.
The US Consumer Price Index (CPI) rose 2.3% year-on-year in April, slightly below March's 2.4% increase and market forecasts. The core CPI, which excludes food and energy, rose 2.8% year-on-year, in line with the previous month and expectations. On a monthly basis, both headline and core CPI rose 0.2%.
In political developments, US President Donald Trump told Fox News that he is looking to expand US access to the Chinese market and described the US-China relationship as "very good." Trump also signaled a willingness to hold direct talks with President Xi Jinping in an effort to reach a broader trade agreement. (Newsmaker23)
Source: FXstreet
GBP/USD rebounds from session lows and trades marginally higher on the day above 1.3550. The renewed selling pressure surrounding the USD following the inflation and Jobless Claims data help the pair ...
GBP/USD tested the 1.3550 area again for the fourth consecutive day on Wednesday, but has so far been unable to break higher. The market is likely to remain cautious ahead of the release of US consume...
The British pound (GBP) traded higher against other major currencies, except for the Antipodean currencies, on Wednesday. The British currency showed strength as market sentiment remained optimistic a...
The British pound (GBP) continued its strengthening against the US dollar (USD) for the third trading day on Tuesday. The GBP/USD pair reached a new three-week high around 1.3580 during the European t...
The pound was virtually unchanged on Monday (September 8th), after posting its biggest one-day rally against the dollar in two weeks on Friday, following surprisingly weak US jobs data that had reinfo...
EUR/USD remains steady during the North American session on Friday, poised to end the week with modest gains of over 0.18% as traders brace for the next week's monetary policy decision by the Federal Reserve (Fed). At the time of writing, the pair...
U.S. Treasury Secretary Scott Bessent met with BlackRock Inc executive Rick Rieder in New York on Friday, as the Trump administration continued its search for a new chair for the Federal Reserve, a source familiar with the matter said. Bessent has...
Oil prices rose on Friday after a Ukrainian drone attack suspended loadings from the largest port in western Russia, but gains were capped by concerns about U.S. demand. Brent crude futures settled at $66.99 a barrel, up 62 cents, or 0.93%. U.S....
The International Monetary Fund on Thursday said the Federal Reserve has scope to lower interest rates because of the weakening U.S. labor market,...
Annual inflation in the United States (US), as measured by changes in the Consumer Price Index (CPI), rose to 2.9% in August from 2.7% in July, the...
The University of Michigan (UoM) is expected to release the preliminary reading of its monthly Consumer Confidence Index for September on Friday....
The Nasdaq Composite notched a perfect week of closing highs on Friday as investors took signs of weakening jobs and tame inflation to mean the...