GBP/USD rebounds on subdued US Dollar, inches higher to near 1.2600

GBP/USD gains ground as the Greenback weakens on speculations of a Fed rate cut in June.
The higher US Treasury yields could have provided support for the US Dollar.
Fitch Ratings revised the UK's sovereign credit outlook to stable from negative last Friday, affirming its sovereign credit rating at AA-.

Akhtar Faruqui FXStreet

GBP/USD snaps a two-day losing streak, retracing recent losses and trading near 1.2600 during the early European session on Monday. The decline in the US Dollar (USD) appears to be the catalyst underpinning the GBP/USD pair.

The dovish sentiment surrounding the Federal Reserve's stance on the trajectory of interest rates, with market sentiment leaning towards the Fed initiating interest rate cuts starting in June, is weakening the US Dollar.

The US Dollar Index (DXY) declines to near 104.30 as the 2-year and 10-year yields on US Treasury bonds hold at 4.60% and 4.21%, respectively, by the press time. The US Dollar (USD) fails to cheer the uptick in US Treasury yields.

Fitch Ratings revised the United Kingdom's sovereign credit outlook to stable from negative last Friday, affirming its sovereign credit rating at AA-. The revision came after the country's economy rebounded to growth in January from a shallow recession in the second half of 2023, boosted by a resurgence in retail sales and housing.

UK Retail Sales came in better than expectations, remaining flat in February. This figure was above the market consensus of a 0.3% decline and suggested a positive sign for the economy. Market participants will likely monitor the release of Gross Domestic Product (GDP) data for the fourth quarter of 2023 from the United Kingdom (UK) and the United States (US) on Thursday.

GBP/USD

Overview
Today last price	1.2603
Today Daily Change	0.0001
Today Daily Change %	0.01
Today daily open	1.2602

Trends
Daily SMA20	1.2725
Daily SMA50	1.2682
Daily SMA100	1.2639
Daily SMA200	1.2593

Levels
Previous Daily High	1.2675
Previous Daily Low	1.2575
Previous Weekly High	1.2804
Previous Weekly Low	1.2575
Previous Monthly High	1.2773
Previous Monthly Low	1.2518
Daily Fibonacci 38.2%	1.2614
Daily Fibonacci 61.8%	1.2637
Daily Pivot Point S1	1.256
Daily Pivot Point S2	1.2518
Daily Pivot Point S3	1.246
Daily Pivot Point R1	1.2659
Daily Pivot Point R2	1.2717
Daily Pivot Point R3	1.2759

Author

Akhtar Faruqui

FXStreet

Akhtar Faruqui is a Forex Analyst based in New Delhi, India. With a keen eye for market trends and a passion for dissecting complex financial dynamics, he is dedicated to delivering accurate and insightful Forex news and analysis.

EUR/USD weakens toward 1.1600 as firm US data revives the US Dollar

The EUR/USD edged lower on Thursday, down some 0.21% as market sentiment remains risk averse due to the ongoing conflict in the Middle East. This and solid US economic data pushed the pair lower towards the 1.1600 figure ahead of Friday’s session.

GBP/USD drifts lower heading into NFP range

GBP/USD edged lower by 0.2% on Thursday, settling close to 1.3350 in a strained trading session that kept the pair pinned near three-month lows. Price briefly recovered earlier in the day on reports that Iran had indirectly signaled openness to talks with the CIA, but the bounce faded as Israeli officials reportedly advised Washington to disregard the overture.

Gold slumps below $5,100 as US Dollar gains

Gold price tumbles to near $5,085 during the early Asian session on Friday. The precious metal loses ground amid a stronger US Dollar. The US employment report for February will take center stage later on Friday.

NYSE parent Intercontinental Exchange partners with OKX, invests at a $25B valuation

OKX announced an investment from Intercontinental Exchange, raising its valuation to $25 billion, alongside a partnership to expand regulated crypto futures and tokenized equity offerings globally.

Two PMIs, two Chinas

China’s economic data are often treated with a degree of caution by global investors. The challenge is not necessarily that the numbers are incorrect, but that they can describe very different parts of a vast and complex economy. Nowhere is that more evident than in China’s PMIs.

Ripple tests recovery strength amid steady ETF inflows, growing retail interest

Ripple (XRP) continues to demonstrate notable resilience as the cryptocurrency market navigates the persistent war in the Middle East after the United States (US) and Israel attacked Iran on Saturday.