Pound Sterling Price News and Forecast: GBP/USD edges higher amid subdued USD demand
|GBP/USD trades with a mild positive bias around 1.2600, lacks bullish conviction
The GBP/USD pair edges higher on the first day of a new week, albeit lacks follow-through buying or build on its modest intraday gains around the 1.2600 round-figure mark.
The mixed US monthly jobs report released on Friday ensures that the Fed will leave rates unchanged at its September meeting and fails to assist the USD to capitalize on last week's strong move up back closer to the August monthly swing high. In contrast, the Bank of England (BoE) is anticipated to continue with its policy tightening cycle to combat high inflation, which turns out to be another factor acting as a tailwind for the GBP/USD pair. It is worth recalling that BoE Deputy Governor Ben Broadbent had said that policy rates may well have to remain in restrictive territory for some time as the knock-on effects of the surge in prices were unlikely to fade away rapidly. Read more...
GBP/USD Price Analysis: Cable bears eye 1.2570 support and BoE Monetary Policy Report Hearings
GBP/USD remains on the back foot around 1.2590-85 as it struggles to defend the weekly gain during the early hours of Monday’s Asian session. In doing so, the Cable pair remains below the 100-bar Exponential Moving Average (EMA).
Adding strength to the downside bias are the bearish MACD signals and a downbeat RSI (14) line, not oversold. Read more...
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