Pound Sterling Price News and Forecast: GBP/USD eases after a daily high, as the US Dollar recovers

FXStreet Team FXStreet

GBP/USD slips as US Dollar steadies ahead of Fed, BoE meetings

The Pound Sterling (GBP) retreats during the North American session on Friday by a modest 0.10% as the US Dollar (USD) recovers some ground, after a week that witnessed US inflation remaining steady above the Fed’s 2% goal but controlled. GBP/USD trades at 1.3556 after hitting a daily high of 1.3580.

The latest consumer and producer price inflation in the US provided a green light to the Fed to resume its easing cycle, as prices, although they remain high, stay below the 3% threshold. Next week, the Federal Reserve is expected to reduce rates by 25 basis points, and the likelihood of providing forward guidance about policy will be clarified by the latest Summary of Economic Projections (SEP). Read more...

United Kingdom FX Today: British Pound awaits next labour market test

The British Pound (GBP) retreated slightly against the US Dollar (USD) on Friday, with the GBP/USD pair trading around 1.3555, down 0.1% on the day, correcting after the previous day's rebound.

The GBP remains under pressure in the forex market, however, held back by persistent concerns over the health of the UK labour market ahead of next Tuesday's release of key employment statistics. Read more...

Pound Sterling drops as UK GDP growth remains stagnant in August

The Pound Sterling (GBP) faces selling pressure against its major currency peers on Friday after the release of the UK Gross Domestic Product (GDP) and factory data for July. The United Kingdom (UK) Office for National Statistics (ONS) reported that the economy remained stagnant in July, as expected, after rising by 0.4% in June.

Growing UK economic concerns are likely to force traders to raise bets supporting more interest rate cuts by the Bank of England (BoE) in the remainder of the year. Currently, there is a 33% chance that the BoE will reduce borrowing rates one more time this year, according to Reuters. 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 bounces toward 1.1750 as US Dollar loses strength

EUR/USD returned to the 1.1750 price zone in the American session on Friday, despite falling Wall Street, which indicates risk aversion. Trading conditions remain thin following the New Year holiday and ahead of the weekend, with the focus shifting to US employment and European data scheduled for next week.

GBP/USD nears 1.3500, holds within familiar levels

After testing 1.3400 on the last day of 2025, GBP/USD managed to stage a rebound. Nevertheless, the pair finds it difficult to gather momentum and trades with modest intraday gains at around 1.3490 as market participants remain in holiday mood.

Gold trims intraday gains, approaches $4,300

Gold retreated sharply from the $4,400 area and trades flat for the day in the $4,320 price zone. Choppy trading conditions exacerbated the intraday decline, although XAU/USD bearish case is out of the picture, considering growing expectations for a dovish Fed and persistent geopolitical tensions.

Cardano gains early New Year momentum, bulls target falling wedge breakout

Cardano kicks off the New Year on a positive note and is extending gains, trading above $0.36 at the time of writing on Friday. Improving on-chain and derivatives data point to growing bullish interest, while the technical outlook keeps an upside breakout in focus.

Economic outlook 2026-2027 in advanced countries: Solidity test

After a year marked by global economic resilience and ending on a note of optimism, 2026 looks promising and could be a year of solid economic performance. In our baseline scenario, we expect most of the supportive factors at work in 2025 to continue to play a role in 2026.

Crypto market outlook for 2026

Year 2025 was volatile, as crypto often is. Among positive catalysts were favourable regulatory changes in the U.S., rise of Digital Asset Treasuries (DAT), adoption of AI and tokenization of Real-World-Assets (RWA).