Pound Sterling Price News and Forecast: GBP/USD holds descending triangle breakout

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GBP/USD Price Forecast: Holds Descending Triangle breakout

The GBP/USD pair trades marginally lower at around 1.3500 during the European trading session on Tuesday. The Cable edges down as the US Dollar (USD) ticks up; however, financial markets doubt the slight recovery move seen this week, with traders paring hawkish Federal Reserve (Fed) bets for the September policy meeting due to weak United States (US) Nonfarm Payrolls (NFP) data for July.

Economists at ING describe the July US jobs report as "surprisingly weak," noting that nonfarm payrolls "fell 23k" on the month. They highlight that the softness was compounded by "103K of downward revisions to the past two months' data," which has dragged the "3M average" gain in payrolls down to just "20,000." ING argues that this combination of an outright monthly decline and sizeable revisions paints a notably softer picture of underlying labour market momentum. Read more...

British Pound consolidates around 1.3500 vs USD; looks to US CPI, UK GDP for fresh impetus

The GBP/USD pair seesaws between tepid gains and minor losses through the early European session on Tuesday, though it remains close to the highest level since July 16 set the previous day. Spot prices currently trade around the 1.3500 psychological mark, nearly unchanged for the day, as traders opt to wait for this week's important macro releases from the US and the UK.

The crucial US Consumer Price Index (CPI) report will be released on Wednesday, followed by the preliminary UK Q2 GDP figures on Thursday and the US Producer Price Index (PPI). In the meantime, the US-Iran standoff, along with bets that the US Federal Reserve (Fed) will adopt a more hawkish stance amid inflation risks stemming from volatile oil prices, supports the safe-haven US Dollar (USD) and caps GBP/USD. Read more...

British Pound clings to gains against US Dollar, US CPI in focus

The British Pound (GBP) holds onto two-day gains marginally at around 1.3500 against the US Dollar (USD) during the Asian trading session on Tuesday. The GBP/USD pair remains firm as the British Pound outperforms despite financial markets pricing out the possibility of an interest rate hike by the Bank of England (BoE) in the near term.

Strategists at Rabobank point out that “for the UK, the market is currently pricing in a reduced expectation of a rate hike by the end of the year. Read more...

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GBP/USD flirts with 1.3500 as USD finds fresh demand

GBP/USD is flatlining near the 1.3500 level the second half of the day on Tuesday, facing some pressure from renewed US Dollar demand as a safe-haven amid surging Oil prices and inflationary concerns. The focus now remains on the Middle East headlines, with Wednesday's US CPI data approaching as this week's key risk event.

EUR/USD stays below 1.1550 amid US-Iran impasse

EUR/USD struggles to gain any meaningful traction on Tuesday and trades marginally lower on the day below 1.1550. Traders seem hesitant to place aggressive bets and opt to wait for further developments surrounding the Middle East crisis and this week's release of the latest US inflation figures.

Gold off two-month highs, back below $4,400 amid surging Oil prices

Gold retreats from its highest level since June 5 at $4,435, touched earlier this Tuesday, and slides back below the $4,400 mark in European trading. Surging Oil prices, amid the US-Iran impasse on talks to reopen the Strait of Hormuz, rekindled inflation concerns, lending support to the US DOllar at the expense of the non-yielding bullion.

Crypto Today: Bitcoin and Ethereum consolidate, XRP dips as optimism for a US-Iran deal fades

Bitcoin (BTC) maintains a neutral outlook on Tuesday while testing support at $64,000. Investors appear to be sitting on the fence, awaiting a catalyst for a breakout above $65,000.

The inflation narrative is still way more important than the employment story

Core bonds sold off yesterday with the belly of the curve slightly underperforming in the US while European curves showed more of a bear flattening. Daily changes on the US curve varied between +4.7 bps (2-yr) and +6.4 bps (7-yr).

9-3: Is the Federal Reserve’s vote tally Warsh's new forward guidance?

The rate did not move. Neither did the statement, and that’s the more interesting fact. Set the July 29 Federal Open Market Committee (FOMC) statement beside the one issued on June 17, and the two documents are identical apart from a single verb and a paragraph at the bottom naming three dissenters.