Pound Sterling Price News and Forecast: GBP/USD hits fresh six-month low below 1.2250 on BoE’s surprise hold

FXStreet Team FXStreet

GBP/USD Forecast: Markets could ignore oversold conditions on a dovish BoE surprise

After rising above 1.2400 during the European trading hours on Wednesday, GBP/USD made a sharp U-turn and closed the day in negative territory. The pair extended its slide in the first half of the day on Thursday and touched its lowest level since early April below 1.2300.

The Federal Reserve left its policy rate unchanged at 5.25%-5.5% as forecast. The revised Summary of Projections confirmed that policymakers intend to hike the policy rate one more time in 2023. More importantly, the rate cut projection for 2024 got revised lower to 50 basis points (bps) from 100 bps. Hawkish dot plot provided a boost to the US Dollar (USD) and forced GBP/USD to stay under bearish pressure. Read more...

GBP/USD hits fresh six-month low below 1.2250 on BoE’s surprise hold

GBP/USD sees a fresh bout of selling pressure, hitting the lowest level since March this year, as the Pound Sterling feels the heat of the dovish Bank of England (BoE) interest rate decision.

Following the September meeting, the BoE decided to keep the benchmark interest rate steady at 5.25%, as against market expectations of a 25 basis points (bps) hike to 5.50%. However, industry experts and analysts had begun pricing chances of a status quo after the unexpected fall in the UK inflation data for August. Read more...

GBP/USD

Overview
Today last price	1.228
Today Daily Change	-0.0064
Today Daily Change %	-0.52
Today daily open	1.2344

Trends
Daily SMA20	1.2523
Daily SMA50	1.27
Daily SMA100	1.2649
Daily SMA200	1.2433

Levels
Previous Daily High	1.2421
Previous Daily Low	1.2332
Previous Weekly High	1.2548
Previous Weekly Low	1.2379
Previous Monthly High	1.2841
Previous Monthly Low	1.2548
Daily Fibonacci 38.2%	1.2366
Daily Fibonacci 61.8%	1.2387
Daily Pivot Point S1	1.231
Daily Pivot Point S2	1.2277
Daily Pivot Point S3	1.2221
Daily Pivot Point R1	1.24
Daily Pivot Point R2	1.2455
Daily Pivot Point R3	1.2489

Author

FXStreet Team

FXStreet

Composed of a group of economic journalists and FX experts, the FXStreet content team produces and oversees all content published on FXStreet. It provides a purely journalistic approach to the Forex market.

AUD/USD stays weak above 0.6900 after China’s trade data

AUD/USD struggles to capitalize on the previous day’s recovery and stays defensive on the 0.6900 level following the narrowing of trade surplus in China. Increased December Fed rate hike bets allows the US Dollar to pause its decline and weigh on the pair. US CPI data is next of note for the major.

USD/JPY retakes 158.00 on weak Japanese data; focus shifts to US CPI

USD/JPY attracts some dip-buyers and retakes 158.00 in the Asian session on Tuesday as a fall in Japan’s Household Spending offsets hawkish BoJ Summary of Opinions, undermining the Japanese Yen. Moreover, Fed hike bets support the safe-haven US Dollar and the currency pair. The market focus now shifts to the release of the crucial US CPI report.

Gold flirts with $4,000 on solid USD buying

Gold slips back to the proximity of the key $4,000 mark per troy ounce on Tuesday, reaching new four-day lows at the same time. The yellow metal’s severe retracement follows the firm performance of the US Dollar, rising US Treasury yields across the curve and reignited speculation of extra Fed tightening.

Pi Network rebounds from record lows, exits oversold territory as momentum improves

Pi Network (PI) shows a strong recovery on Tuesday, up over 7% after recording its all-time low of $0.0624 the previous day. PI token’s appeal in the derivatives market shows minor improvement, with Open Interest rising to $6.21 million.

Five risks for the global economy in 2027

From AI bubbles to geopolitical breakthroughs, these are some of the five ways why this outlook could go wrong – or right: A severe correction in US stocks triggered by an AI meltdown, second-round inflation effects emerge at scale or geopolitical de-escalation delivers an energy peace dividend.

Gold reclaimed $4,100. Tuesday’s CPI test decides if it holds

Gold (XAU/USD) starts the week on a positive note, reclaiming the $4,100 psychological level as the US Dollar (USD) retreats from its recent highs. The precious metal recovers from Friday's losses, although investors remain cautious ahead of Tuesday's US Consumer Price Index (CPI) report, which could determine the next direction for Bullion.