GBP/USD: Bulls may test 1.2900/50 near term – Scotiabank

FXStreet Insights Team FXStreet

The Pound Sterling (GBP) is a marginally better performer among the core majors so far today, with gains supported by further signs of a growth renaissance in the economy.

GBP set to rise towards 1.2900/50

“June GDP was unchanged in the month, as expected, while UK Q2 GDP rose 0.6% q/q, also in line with expectations. June Industrial Production rose a stronger than forecast 0.8% m/m. Manufacturing jumped 1.1%, well ahead of calls for a 0.2% gain. Firm growth trends will not stop the BoE from easing rates again in the next few months but the data tilt risks a little further against a September move.”

“Sterling’s rebound from the upper 1.26s has paused over the past couple of sessions but price patterns are still leaning bullish for the pound as spot consolidates gains. A bullish flag/wedge pattern may be developing on the intraday chart. Gains through 1.2865/75 in the next day or so should be the cue for the GBP rise to resume towards 1.2900/50.”

Author

FXStreet Insights Team

FXStreet

The FXStreet Insights Team is a group of journalists that handpicks selected market observations published by renowned experts. The content includes notes by commercial as well as additional insights by internal and external analysts.

GBP/USD defends 1.3300 after strong UK PMI data

Following Thursday's sharp decline, GBP/USD clings to small gains above 1.3300 in the American session on Friday, supported by the upbeat UK Retail Sales and July PMI data. Nevertheless, the pair's upside remains capped as investors cling to a cautious stance amid a further escalation of tensions in the Middle East. The US July PMI data failed to trigger relevant price action.

EUR/USD remains below 1.1400 after mixed US PMIs

EUR/USD pressures daily lows below the 1.1400 mark in the American session on Friday. Mixed S&P Global PMIs, as manufacturing output contracted while services activity expanded in July, triggered no relevant market reaction. The focus remains in Middle East developments and inflation-related concerns.

Gold holds above $4,050 but momentum still missing

Gold builds on its modest intraday bounce and climbs above the $4,050 level on Friday, hitting a fresh daily high amid a modest US Dollar pullback. The fundamental backdrop, however, warrants some caution before confirming that the pullback from an over two-week high, touched on Wednesday, has run its course and positioning for any meaningful upside.

Ethereum: Derivatives interest in ETH improves, but signs of caution remain

Ethereum is hovering slightly below the $1,900 level, down 3% on Thursday following a slight expansion in derivatives interest. The top altcoin's open interest has increased to 14.60 million ETH, marking a 600K ETH increase over the past two days and its highest level since June 7.

XRP retreats as ETF interest cools

Ripple (XRP) slides toward the short-term $1.10 support on Friday, as broader crypto market sentiment weighs on crypto assets. The sell-off mainly stems from fears of inflation in the United States (US) amid the ongoing war in the Middle East and rising Oil prices.

US Dollar mid-year outlook: Exceptional currency, exceptional risks?

The US Dollar enters the second half of 2026 in a markedly different position from a year ago. The King currency has recovered, reflecting persistent US inflation, changing expectations for Fed policy, geopolitical tensions and renewed demand for defensive assets.