GBP/USD Forecast: Additional gains likely with daily close above 1.3700
The GBP/USD pair broke out of its weekly trading channel on Wednesday and extended its advance to a fresh 15-day high near 1.3700 on Thursday amid dollar weakness and Brexit optimism.
Although the initial reaction to the US inflation data, which showed that the annual Core Consumer Price Index stayed unchanged at 4% in September, provided a boost to the greenback, slumping US Treasury bond yields forced the currency to weaken. Read more...
GBP/USD jumps to over two-week tops, around 1.3700 mark
The GBP/USD pair shot to over two-week tops during the early European session, with bulls now looking to build on the momentum beyond the 1.3700 mark.
The US dollar struggled to preserve its modest intraday gains, instead met with some fresh supply on Thursday and extended the previous day's retracement slide from 13-month tops. A softer tone around the longer-dated US Treasury bond yields undermined the greenback, which was further pressured by the risk-on impulse in the markets. This, in turn, was seen as a key factor that pushed the GBP/USD pair higher for the second successive day. Read more...
GBP/USD holds daily gains near 1.3670 as US T-yields rebound
The GBP/USD pair remains muted on Thursday. The pair consolidates gains after testing the intraday’s high near 1.3672. At the time of writing, GBP/USD is trading at 1.3664, up 0.03% for the day.
The spot recorded nearly 90-pips movement in the previous session on a broad-based USD selling. The greenback retreated from its yearly highs around 94.50 post-US Consumer Price Index (CPI) readings, which came in higher at 5.4% in September, beating expectations. Furthermore, investors geared up for the Fed’s tapering as soon as November, according to the minutes of the September FOMC meetings. Read more...
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