GBP/USD remains on the defensive below 1.2150, Fed, BoE rate decisions eyed


  • GBP/USD extends its downside around 1.2140 ahead of key events.  
  • Federal Open Market Committee (FOMC) is expected to hold the rate unchanged at its November meeting while holding a hawkish stance. 
  • Bank of England (BoE) is anticipated to keep rates steady amid the fear of potential recession in the UK. 
  • The FOMC and BoE meetings will be in the spotlight ahead of the US Nonfarm Payrolls data. 

The GBP/USD pair remains on the defensive during the early Asian session on Wednesday. The major pair faces rejection near the 1.2200 mark. Market players await the highly anticipated Federal Open Market Committee (FOMC) policy meeting on Wednesday ahead of the Bank of England (BoE) on Thursday. These events might trigger the volatility in the market. GBP/USD currently trades near 1.2139, losing 0.11% on the day. 

The two-day FOMC policy meeting begins today and will end in late Wednesday. The markets anticipate the FOMC to hold the interest rate unchanged at its November meeting. Traders will keep an eye on the FOMC Chair Powell’s press conference for fresh impetus. If the FOMC delivers a hawkish message, the US Dollar (USD) might attract some buyers and weigh on the GBP/USD pair. 

On the other hand, the Bank of England (BoE) is expected to keep interest rates steady at 5.25% at its November meeting on Thursday amid growing worries about a recession in the UK economy. Following the meeting, BoE governor Andrew Bailey might offer some hints about the latest forecasts for the UK economy and the future of monetary policy. 

The weaker UK data and stubborn inflation exert pressure on the British Pound (GBP) and act as a headwind for the GBP/USD pair. Additionally, the elevated geopolitical risks in the Middle East might boost safe-haven flows and benefit the Greenback. 

Investors will take cues from the US ADP employment report, JOLTS Job Openings, and the ISM Manufacturing PMI ahead of the FOMC meeting on Wednesday. On Thursday, the BoE rate decision and BoE Governor Bailey's speech will be the highlights. The US employment data, including Nonfarm Payrolls and Average Hourly Earnings for October, will be released on Friday. 

 

 

GBP/USD

Overview
Today last price 1.2144
Today Daily Change -0.0009
Today Daily Change % -0.07
Today daily open 1.2153
 
Trends
Daily SMA20 1.2183
Daily SMA50 1.2329
Daily SMA100 1.2562
Daily SMA200 1.2438
 
Levels
Previous Daily High 1.2201
Previous Daily Low 1.212
Previous Weekly High 1.2289
Previous Weekly Low 1.207
Previous Monthly High 1.2337
Previous Monthly Low 1.2037
Daily Fibonacci 38.2% 1.2151
Daily Fibonacci 61.8% 1.217
Daily Pivot Point S1 1.2115
Daily Pivot Point S2 1.2077
Daily Pivot Point S3 1.2034
Daily Pivot Point R1 1.2196
Daily Pivot Point R2 1.2239
Daily Pivot Point R3 1.2277

 

 

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended content

Editors’ Picks

EUR/USD remains side-lined around 1.0480

EUR/USD remains side-lined around 1.0480

Price action in the FX world remains mostly subdued amid the lack of volatility and thin trade conditions following the US Presidents' Day holiday, with EUR/USD marginally down and flat-lined near 1.0480.

EUR/USD News
GBP/USD keeps the bullish bias above 1.2600

GBP/USD keeps the bullish bias above 1.2600

GBP/USD kicks off the new trading week on a positive foot and manages to reclaim the 1.2600 barrier and beyond on the back of the Greenback's steady price action.

GBP/USD News
Gold resumes the upside around $2,900

Gold resumes the upside around $2,900

Gold prices leave behind Friday's marked pullback and regain some composure, managing to retest the $2,900 region per ounce troy amid the generalised absence of volatility on US Presidents' Day holiday.

Gold News
Five fundamentals for the week: Peace talks, Fed minutes and German election stand out

Five fundamentals for the week: Peace talks, Fed minutes and German election stand out Premium

US President Donald Trump remains prominent, especially in a week when high-level peace talks kick off. Nevertheless, the Commander-in-Chief competes with the world's most powerful central bank, and other events are of interest as well.

Read more
Bitcoin Price Forecast: BTC stalemate soon coming to an end

Bitcoin Price Forecast: BTC stalemate soon coming to an end

Bitcoin price has been consolidating between $94,000 and $100,000 for almost two weeks. Amid this consolidation, investor sentiment remains indecisive, with US spot ETFs recording a $580.2 million net outflow last week, signaling institutional demand weakness.

Read more
The Best Brokers of the Year

The Best Brokers of the Year

SPONSORED Explore top-quality choices worldwide and locally. Compare key features like spreads, leverage, and platforms. Find the right broker for your needs, whether trading CFDs, Forex pairs like EUR/USD, or commodities like Gold.

Read More

Forex MAJORS

Cryptocurrencies

Signatures

Best Brokers of 2025