GBP/USD recovers from 1.2350 as USD Index drops amid US debt-ceiling raise approval
The GBP/USD pair has attempted a recovery move after trading sideways below 1.2350 in the Asian session. The strength in Cable has come due to a sheer decline in the US Dollar Index (DXY) after the approval of a raise in the US debt-ceiling.
House of Representatives Kevin McCarthy-led Republicans have approved a raise in the $31.4 trillion US borrowing cap for two years as the White House agreed to cut spending for the budget but remained stubborn for neither cutting on health coverage nor increasing poverty. Read more...
GBP/USD Price Analysis: Cable bears remain hopeful below 1.2440-45 resistance confluence
GBP/USD fades the previous day’s rebound from a two-month low as it retreats to 1.2345 during early Monday morning in Asia. In doing so, the Cable pair remains within a two-week-old descending trend channel.
It’s worth noting that the latest initial agreement on the US debt ceiling extension may allow the US Dollar to pare some of its latest gains should the policymakers assent to the deal in the Congress voting. However, the holidays in the US and the UK on Monday and recent dissatisfaction among the Democrats and, as well as among the Republicans, from the deal may prod the Cable pair buyers. Read more...
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