Pound Sterling Price News and Forecast: GBP/USD gains ground to near 1.3430 early European session

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British Pound faces second straight weekly loss as tensions in the Middle East weigh ahead of US NFP

The GBP/USD pair holds modest gains near 1.3420 during the European trading hours on Friday. Despite the intraday rebound, the pair is set to register its second straight weekly loss as tensions in the Middle East weigh. Markets might turn cautious later in the day ahead of the key US employment report for May. The developments surrounding the US-Iran peace deal will also be closely watched.

US President Donald Trump's efforts to halt conflict in the Middle East and forge peace with Iran are facing fresh obstacles, after the Iran-backed Hezbollah militia rejected a new ceasefire in Lebanon on Thursday, while Israel said it would not withdraw troops from the country. Read more...

British Pound Sterling leans on hikes its economy can't justify

Sterling is standing on a bet that gets harder to justify by the week. Markets still lean toward Bank of England (BoE) rate hikes this year, even as the economy beneath the Pound flashes contraction rather than the overheating that would normally warrant tighter policy. The Pound is holding up, but it is holding up on borrowed conviction, and the lender is the energy market.

The data is not subtle. May's construction Purchasing Managers Index (PMI) printed near 38, deep in contraction territory, the labour market shed roughly 100K jobs in the latest read, the worst since 2020, and yet the Bank Rate sits at 3.75% with the curve still leaning toward more tightening. Wage growth running close to 4.1% gives the hawks something to point at, but raising rates into a shrinking economy is a narrow path, and one the BoE would clearly rather not be walking. Read more...

British Pound gains as Lebanon truce drama hits the US Dollar

The Pound Sterling (GBP) registers gains of over 0.16% on Thursday amid news that Israel and Lebanon agreed on a ceasefire, but headlines that Hezbollah rejected the plan triggered a retracement on Cable. The GBP/USD pair trades at 1.3439 after bouncing off daily highs of 1.3462.

Hostilities in the Middle East continued on Thursday, particularly Israel attacking the South of Lebanon. Meanwhile, Israeli forces began to withdraw from Dibbin in southern Lebanon, Al Hadath reported. Meanwhile, Iran reiterated that a ceasefire in Lebanon is crucial to advance in peace talks with the US. Read more...

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FXStreet Team

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AUD/USD falls to near 0.7100 after slipping below 50-day EMA

AUD/USD depreciates after registering minor gains in the previous day, trading around 0.7120 during the Asian hours. The technical analysis of the daily chart shows the pair consolidating sideways within a rectangle pattern, as neither bulls nor bears gain control. The AUD/USD pair is holding a slight bearish tone however as it sits beneath both the nine-day and 50-day EMAs.

Japanese Yen edges up but remains close to the 160.00 intervention threshold

The Japanese Yen edges up against the US Dollar on Friday, but the USD/JPY pair remains above 159.90 at the time of writing, unable to put a significant distance from the 160.00 level, considered the limit of tolerable JPY weakness for Japanese authorities.

Gold returns to the red, awaits US NFP

Gold price is looking to test the weekly lows, while in the red near $4,450 in the early European session on Friday. The precious metal remains vulnerable amid ongoing geopolitical turmoil. Traders will closely monitor the developments surrounding the US-Iran peace deal and the US May employment report later on Friday.

Arthur Hayes' “Holy Trinity” is dead: Exits Zcash after Orchard Pool exploit

Arthur Hayes has entirely dumped his “Holy Trinity” holdings by offloading his Zcash holdings on Friday. The privacy coin is down 13% so far on Friday, extending Thursday’s 26% decline after an Orchard Shielded Pool audit revealed a critical vulnerability that allowed the undetectable minting of fake coins. Hayes continues to hold Worldcoin ahead of the upcoming SpaceX Initial Public Offering, on the chance of a “high-beta proxy” rally.

Nonfarm Payrolls set to show stable labor market in May as markets digest Fed hawkish shift

The United States Bureau of Labor Statistics will release the Nonfarm Payrolls data for May on Friday at 12:30 GMT. Investors expect NFP to rise by 85K following the surprisingly strong 185K and 115K increases recorded in March and April, respectively.

Recession on paper: What really moves the Canadian Loonie now?

Statistics Canada handed the headline writers a gift and the analysts a headache. Real GDP shrank 0.1% on an annualized basis in the first quarter, and with the fourth quarter of 2025 revised down to a 1.0% contraction, that is two negative quarters in a row, the textbook definition of a technical recession and Canada's first since the pandemic.