Thursday, 23 October 2025
Jakarta
--:--
Tokyo
--:--
Hongkong
--:--
New York
--:--
Pound Under Pressure, US Dollar Strengthens Ahead of US Inflation Data
Thursday, 23 October 2025 12:52 WIB | GBP/USD |Poundsterling

The pound sterling (GBP) exchange rate against the US dollar (USD) has continued to weaken for the fifth consecutive day and is now trading around 1.3340 in the Asian session on Thursday (October 23rd) morning. Pressure on the pound increased due to the strengthening of the US dollar amid growing market concerns ahead of the release of US inflation data on Friday. This situation was exacerbated by the partial US government shutdown, which delayed the release of important economic data, making investors more cautious.

The US dollar also received additional support from growing optimism regarding a potential trade deal between the US and China. President Donald Trump said he hopes to reach "some agreement" with President Xi Jinping when they meet in South Korea next week, including discussions on soybean exports, nuclear weapons restrictions, and China's purchases of Russian oil. Meanwhile, market participants estimate a 97% chance of a Fed interest rate cut in October and a 96% chance of a December interest rate cut, as pressure on the US economy increases.

The pound itself was hit by the release of UK inflation data for September, which showed an annual increase of 3.8%, lower than the 4% expected. While still well above the Bank of England's 2% target, this figure indicated signs of price slowdown, thus reducing market expectations that the Bank of England would raise interest rates again. The combination of weak data and the strength of the US dollar kept the GBP/USD pair under pressure. (az)

Source: Newsmaker.id

RELATED NEWS
Sterling Falls as UK Borrowing Exceeds Forecast...
Tuesday, 21 October 2025 15:41 WIB

The British pound fell to around $1.34, its lowest in a week, after data showed the UK government borrowed £7.2 billion more than forecast in the first half of the fiscal year, underscoring the tough ...

GBP/USD surges to one-week high as weak ADP data...
Thursday, 2 October 2025 05:05 WIB

The British Pound (GBP) advances sharply against the US Dollar (USD) on Wednesday, with GBP/USD climbing to a one-week high, reaching its strongest level since September 24, as the Greenback remains u...

GBP/USD finds uneasy gains ahead of US government shutdown...
Wednesday, 1 October 2025 06:10 WIB

GBP/USD caught a slight lift on Tuesday, creeping into the 1.3450 region and tilting into a third straight bullish session. United Kingdom (UK) Gross Domestic Product (GDP) growth figures beat expecta...

GBP/USD edges higher as Greenback eases after US PCE and UoM sentiment data...
Friday, 26 September 2025 22:41 WIB

The British Pound (GBP) gains traction against the US Dollar (USD) on Friday, with GBP/USD snapping a two-day losing streak. At the time of writing, the pair is hovering near 1.3393, staging a modest ...

Sterling Holds Near 10-Week High...
Wednesday, 17 September 2025 17:01 WIB

The British pound held above $1.363, close to its highest in over ten weeks, as traders awaited key central bank decisions. The Bank of England is expected to leave rates at 4% on Thursday while slowi...

LATEST NEWS
Gold gains on safe-haven demand amid US shutdown and trade tensions

Gold (XAU/USD) edges higher on Thursday, trading around $4,115, up nearly 0.40% for the day. Demand for safe-haven assets remains firm amid the prolonged budget deadlock in Washington and persistent geopolitical uncertainty. Expectations of further...

Dollar picks up slightly with CPI release in focus

Dollar picks up slightly with CPI release in focus The U.S. dollar drifted higher Thursday as traders weighed up fresh trade threats between Washington and Beijing, ahead of the release of key inflation data. The Dollar Index, which tracks the...

Hang Seng Strengthens after US and China will hold Negotiations

The Hang Seng rose 186 points, or 0.7%, to close at 25,968 on Thursday, reversing early declines as sentiment improved following reports that the U.S. and China will hold another round of high-level trade talks this weekend at the 47th ASEAN...

POPULAR NEWS
The Fed This Week, Awaiting Data, Ready to Make a Decision
Wednesday, 22 October 2025 17:59 WIB

The Fed will meet on October 28-29, 2025. This meeting is crucial because the market still considers the possibility of an interest rate cut, but...

US Government Shutdown Likely To End This Week, White House Adviser Hassett Says
Monday, 20 October 2025 23:26 WIB

The 20-day US federal government shutdown is likely to end this week, White House economic adviser Kevin Hassett said on Monday. "I think the...

Fed to cut Federal Funds rate by 25 bps to 3.75%-4.00% range on October 29
Tuesday, 21 October 2025 18:15 WIB

According to a poll by Reuters, 115 of 117 economists have predicted that the Federal Reserve (Fed) will reduce interest rates by 25 basis points...

Fed still poised to cut rates, but worries mount over US data vacuum
Monday, 20 October 2025 19:09 WIB

The Federal Reserve will go into a policy meeting next week with its view of the economy obscured by a U.S. government shutdown that has suspended...