GBP/USD is advancing further today, currently printing fresh daily highs in the mid-1.2400s in the wake of UK’s CPI for the month of February.
GBP/USD bid after CPI
Spot gained extra traction after UK’s inflation figures tracked by the CPI showed consumer prices rose at an annualized 2.3% during last month, up from January’s 1.8% and above initial estimates for a 2.1% gain. On a monthly basis, CPI rose 0.7% vs. 0.5% forecasted.
Further releases saw Core CPI up 2.0% on a yearly basis and Public Sector Net Borrowing shrinking to nearly £1.1 billion in February.
GBP/USD levels to consider
As of writing the pair is up 0.77% at 1.2454 and a breakout of 1.2572 (high Feb.24) would open the door to 1.2715 (high Feb.2) and finally 1.2776 (high Dec.6 2016). On the flip side, the next support aligns at 1.2333 (low Mar.20) followed by 1.2313 (20-day sma) and then 1.2239 (low Mar.16).