Pound Sterling Price News and Forecast: GBP/USD attracts some dip-buyers on Monday
|GBP/USD Weekly Forecast: Pound Sterling braces for volatility in final full week of 2024
The Pound Sterling (GBP) failed to sustain at three-week highs against the US Dollar (USD), sending GBP/USD back under the 1.2700 threshold.
It was a mixed week for GBP/USD traders. In the early part of the week, the Pound Sterling defended the previous week’s upswing only to surrender into persistent USD demand in the second half. A hawkish shift in the expectations of the US Federal Reserve’s (Fed) future interest rate path and the sustained advance in US Treasury bond yields kept the Greenback’s bullish undertone alive throughout the week. Read more...
GBP/USD edges higher to 1.2630, looks to UK/US PMIs for some impetus
The GBP/USD pair ticks higher at the start of a busy week and for now, seems to have snapped a three-day losing streak to the 1.2600 neighborhood, or over a two-week low touched on Friday. Spot prices currency trade around the 1.2630-1.2635 region, up 0.10% for the day, though any meaningful appreciation seems elusive ahead of this week's key central bank event risks.
The Federal Reserve (Fed) is scheduled to announce its policy decision on Wednesday, which will be followed by the Bank of England (BoE) meeting on Thursday. The US central bank is widely expected to lower borrowing costs for the third straight meeting, though traders are pricing in the possibility of a slower pace of rate reductions next year. Hence, the accompanying policy statement, the updated economic projections – including the so-called dot-plot – and Fed chair Jerome Powell's comments at the post-meeting press conference will be scrutinized for cues about the future rate-cut path. This, in turn, will play a key role in influencing the near-term US Dollar (USD) price dynamics and provide some impetus to the GBP/USD pair. Read more...
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