Pound Sterling Price News and Forecast: GBP/USD picks up bids to defend the previous day’s rebound
|GBP/USD struggles around mid-1.2000s amid downbeat options market signals, mixed UK catalysts
GBP/USD retreats from intraday high but stays mildly bid around 1.2050 during Wednesday’s mid-Asian session. In doing so, the Cable pair portrays the sluggish markets while taking clues from the options market and the British fundamentals to probe bulls by cautiously defending the bounce off a one-month low.
That said, one-month GBP/USD risk reversal (RR) dropped to -0.010, in favor of puts or bets according to the latest data provided by Reuters. With this, the daily RR dropped for the second consecutive day by the end of Tuesday’s North American session. Read more...
GBP/USD appears optimistic on UK PM Sunak’s Cabinet reshuffle, mildly bid near 1.2050 amid mixed Fedspeak
GBP/USD holds onto the previous day’s recovery moves near 1.2050 during Wednesday’s initial Asian session, despite the pause in the US Dollar’s weakness and sluggish markets. The reason could be linked to the fresh optimism surrounding the UK Prime Minister Rishi Sunak’s Cabinet reshuffle and mixed comments from the Federal Reserve (Fed) officials.
UK PM Sunak broke the British Cabinet into two departments to justify his pledge to bolster the economy and reduce energy prices, not to forget defending the Tory party's interest before the anticipated election in the next year. “Sunak created a new energy security and net zero department, led by former business minister Grant Shapps, and three other departments, with one focusing on science and innovation, a personal passion for the British leader,” said Reuters while giving details of the action. Read more...
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