Pound Sterling Price News and Forecast: GBP/USD attracts buyers for three days straight amid weaker US Dollar

FXStreet Team FXStreet

GBP/USD Price Forecast: Stands firm near mid-1.3400s, seems poised to climb further

The GBP/USD pair gains positive traction for the third consecutive day on Friday and moves further away from its lowest level since early August, around the 1.3250-1.3245 region touched earlier this week. Spot prices currently trade around mid-1.3400s, or a one-and-a-half-week high touched on Thursday amid a broadly weaker US Dollar (USD), though the intraday uptick lacks bullish conviction.

Tuesday's disappointing UK employment data fueled speculations that the Bank of England (BoE) could continue cutting rates gradually. This, along with concerns over the UK’s fiscal outlook ahead of the crucial Autumn budget in November, is holding back traders from placing aggressive bullish bets around the British Pound (GBP) and turning out to be a key factor acting as a headwind for the GBP/USD pair. Read more...

GBP/USD extends bullish rebound, continuation faces fresh technical challenge

GBP/USD stepped into a second straight winning session on Thursday, around three-tenths of one percent and bringing Cable’s two-day recovery to a little over one percent, bottom-to-top. UK data came in more or less above expectations, bolstering the Pound Sterling (GBP) as it extends a technical rebound from the 200-day Exponential Moving Average (EMA) near 1.3270.

Cable is now facing a fresh technical ceiling near the 50-day EMA at 1.3450, but momentum remains in favor of GBP bulls as US data remains a limited affair. There is little of note on both sides of Friday’s data docket, with the UK data pool now empty and the US side dark amid the ongoing government shutdown, which has caused the release of official datapoints to dwindle down to functionally nothing. Read more...

GBP/USD extends recovery amid US Dollar softness and modest UK GDP growth

The British Pound (GBP) strengthens against the US Dollar (USD) on Thursday, extending gains for the second day in a row. At the time of writing, GBP/USD is trading around 1.3431, rebounding after briefly falling to a two-and-a-half-month low on Tuesday.

The recovery in Sterling comes as the Greenback softens amid escalating US-China trade tensions and prolonged uncertainty surrounding the United States (US) government shutdown, now in its third week. Traders are also fully pricing in back-to-back 25-basis-point interest rate cuts by the Federal Reserve (Fed) at the upcoming October and December meetings. Read more...

Author

FXStreet Team

FXStreet

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

Editor's Picks

EUR/USD edges higher to mid-1.1600s; looks to US PCE Price Index for fresh impetus

The EUR/USD pair attracts some dip-buyers during the Asian session on Friday and recovers a part of the previous day's retracement slide from the 1.1680 region, or the highest level since October 17. Spot prices currently trade around mid-1.1600s and remain on track to register gains for the second straight week.

GBP/USD attempts some consolidation near 1.3350

GBP/USD is alternating gains with losses near 1.3350 on Thursday. The Greenback’s attempts to recover aren't really sticking, upbeat data or not, as traders stay confident that the Fed will deliver a 25 bps rate cut at its final meeting of the year.

Gold bull-bear tug-of-war extends ahead of US data

Gold struggles around $4,200 early Friday, eyes a modestly flat close to the week. US Dollar turns south alongside Treasury bond yields amid Fed rate cut buzz. Gold remains confined within a tight range; buyers refuse to give up yet.

Top Crypto Gainers: Zcash rallies as MYX Finance, Dash test critical EMA levels

Zcash, MYX Finance, and Dash are the top-performing assets in the top 100 cryptocurrency list over the last 24 hours. The privacy coin leads the rally while MYX and DASH struggle to clear their 100-day Exponential Moving Averages.

Why the Fed may cut rates in December: Understanding the policy shift

The Fed has gone through a noticeable policy swing in recent months - from initiating a rate cut, to signaling a potential pause, and now shifting once again toward another cut in December. This has created understandable confusion among traders and investors trying to interpret the Fed’s reaction function.

XRP edges lower despite record on-chain activity and steady ETF inflows

Ripple is trading under pressure at the time of writing on Thursday, after bulls failed to break the short-term resistance at $2.22. The reversal may extend toward Monday’s low of $1.98, especially if risk-off sentiment persists in the broader cryptocurrency market.