Pound Sterling Price News and Forecast: GBP/USD attracts fresh sellers on Wednesday

FXStreet Team FXStreet

GBP/USD Price Forecast: Slides below 1.3250 after failing to break through 23.6% Fibo.

The GBP/USD pair meets with a fresh supply during the Asian session on Wednesday and moves away from a nearly two-week high around the 1.3275 region, touched the previous day. Spot prices currently trade around the 1.3235 zone, down 0.20% for the day, as traders look to speeches from Bank of England (BoE) Governor Andrew Bailey and Federal Reserve (Fed) Chair Kevin Warsh for a fresh impetus.

From a technical perspective, the GBP/USD pair has been struggling to make it through the 23.6% Fibonacci retracement level of the May-June downfall. This comes on top of the recent repeated failures near the 200-period Simple Moving Average (SMA) on the 4-hour chart and a breakdown below the 1.3300 mark, which, in turn, favors bearish traders. However, mixed momentum indicators warrant some caution before positioning for deeper losses. Read more...

British Pound weakens below 1.3250 on UK political risks, BoE repricing

The GBP/USD pair trades in negative territory around 1.3245 during the early Asian trading hours on Wednesday. Traders await the UK political developments, focusing on potential leadership by Andy Burnham and adherence to existing fiscal rules. Bank of England (BoE) Governor Andrew Bailey is set to speak later in the day. On Thursday, all eyes will be on the US jobs data for June.

The UK's likely next Prime Minister Burnham vowed on Monday to deliver radical change to the nation's politics by handing more power to its regions and by encouraging collaboration over argument in a 10-year mission to spur "good" growth. Traders will closely monitor choice for finance minister, which could prove crucial to the outlook for both the pound and the gilt market. Read more...

British Pound holds firm as political stability offsets UK growth miss

The Pound Sterling (GBP) advances 0.11% on Tuesday against the US Dollar (USD) despite UK data showing the economy is slowing, while the latest US jobs report indicated that the number of vacancies rose in May, according to the US Bureau of Labor Statistics. At the time of writing, the GBP/USD pair trades at 1.3270.

The UK Office for National Statistics reported that Gross Domestic Product (GDP) for Q1 2026 expanded by 0.6% QoQ as expected, boosted by services, specifically computer programming, commented Liz McKewon, the director of economic statistics at the ONS. However, on a yearly basis, the economy grew by 0.9%, below estimates and the prior reading of 1.1%. Read more...

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