Pound Sterling Price News and Forecast: GBP/USD gathers strength to near 1.3360

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British Pound strengthens above 1.3350 ahead of US CPI data

The GBP/USD pair trades in positive territory around 1.3360 during the Asian trading hours on Tuesday. However, the potential upside for the major pair might be limited amid fears of an escalating US-Iran conflict. The US June Consumer Price Index (CPI) inflation report will take center stage later on Tuesday.

US President Donald Trump said on Monday that Washington was reinstating a naval blockade on Tehran and would ensure the Strait of Hormuz remained open for a fee following fresh exchanges of missile and drone strikes, per Reuters. The US military said that US forces completed new strikes on Iranian military targets, adding that more than 50,000 US service members are currently deployed across the Middle East. Read more...

British Pound Sterling buckles as Trump builds the Hormuz toll booth he swore would never exist

The British Pound Sterling is spending Monday learning the difference between a recovery and a reprieve. GBP/USD opened the week flush against its 200-day Exponential Moving Average (EMA), probed the 1.3400 area through the Asian hours, and has been sold methodically ever since; the pair now changes hands at 1.3349, leaning on the 1.3350 shelf with the session low a few pips beneath.

Little of the damage is native to Sterling, because the Dollar is being bought against the entire major-currency board on two stories that landed within hours of each other. The first turns the world's most important Crude Oil chokepoint into a toll plaza; the second comes from a Federal Reserve (Fed) official who spent last year arguing for cuts and now warns about hikes. Read more...

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