Pound Sterling Price News and Forecast: GBP/USD appreciates as USD loses ground amid lower Treasury yields

FXStreet Team FXStreet

GBP/USD holds ground above 1.2600 ahead of UK CPI data

GBP/USD remains firm after losses in the previous session, trading around 1.2610 during the Asian session on Wednesday. Traders await the release of January’s Consumer Price Index (CPI) data from the United Kingdom (UK) scheduled to be released later in the day. The Pound Sterling (GBP) could see significant movement in response to the inflation report, which may influence the Bank of England’s (BoE) interest rate-cut strategy amid ongoing inflationary pressures.

The pair finds support as the US Dollar (USD) struggles amid falling Treasury yields, despite ongoing caution regarding the Federal Reserve’s (Fed) policy outlook. Investors await the release of the FOMC Minutes later in the North American session. Read more...

GBP/USD Price Analysis: Bulls pause ahead of key fundamental drivers

GBP/USD retreated slightly on Tuesday, edging down 0.16% to 1.2605 after an extended rally that propelled it to its highest level since mid-January. Despite this mild pullback, the broader outlook remains constructive, as the pair continues to set its sights on the 100-day Simple Moving Average (SMA) at 1.2660.

Momentum indicators suggest a temporary cooling-off period rather than a structural shift. The Relative Strength Index (RSI) has dipped to 62, signaling a slowdown in buying pressure but still holding in positive territory. Meanwhile, the Moving Average Convergence Divergence (MACD) histogram remains flat with green bars, reinforcing the notion that the latest price action is more of a technical correction than a bearish reversal. Read more...

GBP/USD slips amid strong US Dollar, hawkish Fed tilt

The Pond Sterling (GBP) retreated after rallying for three consecutive days, dropping some 0.19% even though the United Kingdom's (UK) jobs data was solid. Meanwhile, a hawkish tilt by Federal Reserve (Fed) officials and United States (US) President Donald Trump's tariffs policies add to the uncertainty, underpinning the Greenback. GBP/USD trades at 1.2602.

In the UK, the economy added 107K people to the workforce, exceeding estimates of 50K. Consequently, the Unemployment Rate in the fourth quarter stood steady at 4.4%, while pay growth, as revealed by Average weekly earnings before bonuses, jumped 5.9%. Read more...

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