Pound Sterling Price News and Forecast: GBP/USD edges lower to around 1.3610 early Asian session
|GBP/USD Price Forecast: Holds medium-term bullish bias above 1.3600
The GBP/USD pair trades on a softer note around 1.3605 during the early European session on Monday. Growing expectation of the Bank of England’s (BoE) interest-rate cut weighs on the Pound Sterling (GBP) against the Greenback.
The BoE was widely expected to leave interest rates unchanged at 3.75%, but the number of Monetary Policy Committee (MPC) members supporting keeping rates unchanged was lower than the seven expected by markets. “We continue to expect the next rate cut in March. After that, we think the BOE will deliver a prolonged pause before resuming policy normalization in early 2027 (we see a terminal rate of 3.00% by mid-2027),” said Dani Stoilova, UK and Europe economist at BNP Paribas Markets 360. Read more...
GBP/USD softens to near 1.3600 as BoE hints further rate cuts
The GBP/USD pair loses ground to near 1.3610 during the early Asian session on Monday. The Pound Sterling (GBP) softens against the Greenback amid growing expectations of the Bank of England’s (BoE) interest-rate cut. Traders will take more cues from the Fedspeak later on Monday.
The Bank of England (BoE) kept interest rates on hold at 3.75% at its first meeting of 2026 last week. The UK central bank signaled that there is a high chance of an interest-rate cut in the near term, adding that monetary policy is being set to ensure that the inflation rate “not only reaches 2% but remains sustainably at that level in the medium term. Read more...
GBP/USD Weekly Forecast: Pound tests key support as US and UK data loom
The Pound Sterling (GBP) changed course against the US Dollar (USD), with GBP/USD giving up nearly 200 pips in a dramatic correction. GBP/USD faced a double whammy during the week, with resurgent haven demand for the US Dollar (USD) on one hand. While the dovish Bank of England (BoE) interest rate on hold decision smashed the pair on the other hand.
In doing so, the pair reversed a majority of gains seen from the beginning of this year, extending the correction from over four-year highs of 1.3869 reached on January 27. The Greenback attracted haven demand as markets embarked on a solid rotation spree, with capital flowing out of overvalued and growth assets, such as tech stocks, Gold, Silver etc., into value assets and undermined ones like the USD. Read more...
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