Pound Sterling Price News and Forecast: GBP ranges against USD ahead of US Q4 GDP, PCE inflation


Pound Sterling ranges against USD ahead of US Q4 GDP, PCE inflation

The Pound Sterling (GBP) ticks slightly higher to near 1.2460 against the US Dollar (USD) in European trading hours on Thursday. The GBP/USD consolidates as the US Dollar turns sideways ahead of the advanced Gross Domestic Product (GDP) report for the fourth quarter of 2024, which will be published at 13:30 GMT. Economists estimate the US economy expanded 2.6% year-over-year (YoY), slower than the 3.1% growth seen in the third quarter of 2024.

Investors should brace for more volatility in the US Dollar as the Personal Consumption Expenditure Price Index (PCE) data for December is scheduled to be released on Friday. The PCE price index data will show the current status of inflation. The core PCE inflation, the Federal Reserve’s (Fed) preferred inflation gauge is estimated to have grown in December by 0.2%, faster than 0.1% in November on a month-on-month basis, with yearly figures rising steadily by 2.8%. Read more...

GBPUSD

GBP/USD Forecast: Pound Sterling struggles to find direction after Fed

GBP/USD struggles to find direction and fluctuates in a tight band at around 1.2450 after closing virtually unchanged on Wednesday. The Federal Reserve's (Fed) monetary policy announcements fail to influence the US Dollar's (USD) valuation in a noticeable way as market focus shifts to US growth data.

The Fed said late Wednesday that it left the policy rate unchanged at 4.25%-4.5%. In the policy statement, the Fed removed the language suggesting inflation had "made progress" toward its 2% target and said the pace of price increases "remains elevated" instead. Read more...

GBPUSD

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 holds steady above 1.0400 amid US tariff threats

EUR/USD holds steady above 1.0400 amid US tariff threats

EUR/USD holds steady above 1.0450 in the European trading hours on Thursday. Broad US Dollar underperformance supports the pair. However, tariff threats from US President Donald Trump and geopolitical tension might cap its upside. US data and Fedspeak remains in focus. 

EUR/USD News
GBP/USD hovers around 1.2600, awaits US data

GBP/USD hovers around 1.2600, awaits US data

GBP/USD holds ground around 1.2600 in the European session on Thursday. The pair is helped by a modest US Dollar downtick but broad risk-off mood due to renewed tariff threats from US President Donald Trump could limit the risk sensitive Pound Sterling. 

GBP/USD News
Gold price hits fresh record high as trade war fears continue to fuel safe-haven demand

Gold price hits fresh record high as trade war fears continue to fuel safe-haven demand

Gold price hits a fresh all-time peak during the early European session on Thursday and confirms a breakout through a short-term trading range. US President Donald Trump's fresh threat to impose tariffs on imported goods dampens investors' appetite for riskier assets and continues to underpin demand for the safe-haven bullion.

Gold News
Stellar Price Forecast: XLM’s Total Value Locked reaches over $62 million

Stellar Price Forecast: XLM’s Total Value Locked reaches over $62 million

Stellar (XLM) price trades inside a channel pattern; a breakout indicates bullish momentum. Crypto intelligence tracker DefiLlama data shows that XLM’s TVL reaches $62 million while the technical outlook projects a target of $0.74.

Read more
Money market outlook 2025: Trends and dynamics in the Eurozone, US, and UK

Money market outlook 2025: Trends and dynamics in the Eurozone, US, and UK

We delve into the world of money market funds. Distinct dynamics are at play in the US, eurozone, and UK. In the US, repo rates are more attractive, and bills are expected to appreciate. It's also worth noting that the Fed might cut rates more than anticipated, similar to the UK. In the eurozone, unsecured rates remain elevated.

Read more
The Best brokers to trade EUR/USD

The Best brokers to trade EUR/USD

SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.

Read More

Forex MAJORS

Cryptocurrencies

Signatures

Best Brokers of 2025