British Pound finds footing at 1.3420 with markets awaiting US Job Openings data
The British Pound (GBP) edges higher against the US Dollar (USD) on Tuesday, reaching session highs above 1.3440 after finding support at the 1.3420 area earlier on the day. A mild risk appetite amid market hopes of a negotiated breakthrough in Iran and investors’ cautiousness ahead of key US labour market releases are keeping US Dollar bulls subdued on Tuesday.
A tense calm holds for the second consecutive day in Iran, with news from the conflict showing contradictory versions. US President Donald Trump affirmed that this is Tehran’s last chance to sign a good deal with the United States, but Iranian authorities have denied any talks with US negotiators and reiterated their threats to strike the US Navy if the blockade on Iran continues. Read more…
GBP/USD under pressure: Pound lags behind peers
GBP/USD held steady at 1.3426 on Tuesday, with the pound lagging behind other currencies despite a broader decline in the dollar.
Market sentiment improved following a drop in oil prices, as investors grew hopeful that the US and Iran may reach an agreement to restore shipping through the Strait of Hormuz. Such a development would reduce inflation risks and the likelihood of further rate hikes. Read more…
GBP/USD Price Forecast: Downward-sloping trendline near 1.3470 remains key barrier
The British pound (GBP) faces selling pressure against its major currency peers, trading 0.1% lower at around 1.3420 against the US Dollar (USD) during the European trading session on Tuesday.
Analysts at Rabobank highlight that “GBP net shorts bounced higher last week ahead of the BoE policy meeting,” underscoring renewed speculative pressure on the Pound. They note that, “despite a more hawkish voting split than the market had expected from the MPC, Governor Bailey’s tone was dovish,” which in their view “suggest[ed] little support for the pound from the BoE.” This combination of positioning and communication leaves Sterling lacking clear policy backing despite the ostensibly firmer stance implied by the vote split. Read more…
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