Pound Sterling Price News and Forecast: GBP remains firm on BoE less-dovish rate cut bets

FXStreet Team FXStreet

Pound Sterling remains firm on BoE less-dovish rate cut bets

The Pound Sterling (GBP) exhibits a mixed performance against its major peers on Wednesday. The outlook of the British currency remains firm as investors expect that the Bank of England (BoE) will lower interest rates gradually. BoE Governor Andrew Bailey said in an interview with Kent Messenger newspaper on Tuesday, "I do think the path for interest rates will be downwards, gradually.”

The comments from Bailey suggested that he is confident about inflation sustainably returning to the bank’s target of 2%. When asked about where interest rates will settle, Bailey didn’t provide a specific neutral rate but assured that he did not expect them to return to historic lows as seen in times of pandemic. Read more...

GBP/USD: Set to rise and reach 1.3450 – UOB Group

The Pound Sterling (GBP) could rise and potentially reach 1.3450; the next resistance at 1.3480 is unlikely to come into view. Boost in momentum indicates further GBP strength; the next level to watch is 1.3480, UOB Group FX strategists Quek Ser Leang and Peter Chia note.

24-HOUR VIEW: “While we expected GBP to strengthen yesterday, we indicated that it ‘is unlikely to reach the major resistance at 1.3400.’ The anticipated advance exceeded our expectations, as GBP soared and broke clearly above 1.3400. GBP continues to rise in early Asian trade today, and it could potentially reach 1.3450. The next resistance at 1.3480 is unlikely to come into view. Support levels are at 1.3400 and 1.3365.” Read more...

Author

FXStreet Team

FXStreet

Composed of a group of economic journalists and FX experts, the FXStreet content team produces and oversees all content published on FXStreet. It provides a purely journalistic approach to the Forex market.

GBP/USD hits multi-week tops around 1.3560

GBP/USD gathers fresh steam and advances to new three-month peaks near the 1.3560 zone on Friday. Cable’s sharp move higher comes after three daily drops in a row and follows the increasing selling pressure hurting the Greenback.

EUR/USD pops to fresh two-month highs, targets 1.1600

EUR/USD advances markedly, revisiting the upper 1.1500s for the first time since mid-June. The pair’s sharp uptick comes on the back of a strong retracement in the US Dollar amid BoJ intervention chatter and despite steady uncertainty in the Middle East.

Gold picks up pace, approaches $4,400

Gold rebounds toward the $4,400 mark per troy ounce on Friday, reversing the previous day’s pullback. The precious metal’s recovery comes as fresh and intense weakness keep weighing on the US Dollar, while traders keep assessing easing expectations of an imminent Fed interest rate hike and the situation from the Middle East.

Pi Network Price Forecast: PI extends consolidation as bulls eye $0.10

Pi Network (PI) price holds steady on Friday, maintaining a consolidating tone for three consecutive days. Mild retail strength in the PI token remains stable, with Open Interest above $9 million, while social buzz eases. PI token’s technical outlook is mixed, as bearish momentum wanes to neutral, with bulls eyeing the $0.1000 psychological level.

Weekly focus: Some relief in US inflation concerns

Actual inflation data for July came out as expected with a 0.1% m/m increase in headline CPI and 0.2% excluding food and energy. Annual headline inflation remains too high at 3.4% and means that wage earners are experiencing stagnating spending power at best, and core inflation is a bit higher than the inflation target of two percent would suggest.

Why is Crude Oil priced for a reopening the ships haven't made?

Fourteen vessels crossed the Strait of Hormuz on Tuesday. Before the war, the count ran near 120 a day. In the sessions since the waterway was publicly declared open, Brent has drifted back to $87 and West Texas Intermediate (WTI) to $81, both a little lower again on Wednesday, with daily momentum on each unwound from the top of its range in late July to the low twenties now.