Pound Sterling Price News and Forecast: GBP/USD is seen consolidating its recent losses

GBP/USD Weekly Forecast: Pound Sterling braces for volatility as UK CPI, BoE meeting loom

The Pound Sterling (GBP) rebounded firmly against the US Dollar (USD) this week, propelling GBP/USD to a new three-month top, but sellers once again lurked above the 1.2800 mark.

Following a bullish start to the week, GBP/USD turned south in the second half of the week after failing to recapture the 1.2800 level. Read more…

GBP/USD hangs near its lowest level since early May, seems vulnerable below 1.2700

The GBP/USD pair struggles to capitalize on Friday’s modest bounce from the vicinity of mid-1.2600s or a nearly one-month low and oscillates in a narrow band on the first trading day of a new week. Spot prices now seem to have found acceptance below the 1.2700 round-figure mark and could decline further amid a bullish sentiment surrounding the US Dollar (USD). 

In fact, the USD Index (DXY), which tracks the Greenback against a basket of currencies, stands tall near its highest level since early May touched on Friday in the wake of the Federal Reserve’s (Fed) hawkish surprise last week. In the so-called “dot plot”, policymakers projected only one interest rate cut in 2024 as compared to three in March. This remains supportive of elevated US Treasury bond yields and acts as a tailwind for the buck, validating the negative outlook for the GBP/USD pair. Read more…