Pound Sterling Price News and Forecast: GBP/USD nears 1.3400 as traders brace for BoE cut

The EUR/USD pair holds steady near 1.1665 during the early Asian trading hours on Tuesday. Traders digested the US President Donald Trump administration's threat to indict the Federal Reserve after Chair Jerome Powell said on Sunday that he’s under criminal investigation. 

The GBP/USD pair edges higher for the second straight day on Tuesday and looks to build on the previous day's recovery from the 1.3390 region, or a three-week low. Spot prices currently trade around the 1.3475 region, up nearly 0.10% for the day.

Gold price is back in the red below $4,600 in the Asian session on Tuesday. The precious metal sees a profit-taking pullback from a fresh record high of $4,630 in the previous session. Gold remains broadly underpinned by economic uncertainty and geopolitical risks. The US Consumer Price Index inflation data for December will take center stage later on Tuesday.

Bitcoin treasury and financial intelligence company Strategy stepped up its accumulation of the top crypto last week after it purchased 13,627 BTC for $1.25 billion, its largest buy since last July.

Federal investigation of Powell and the Fed knocks risk sentiment. Concerns grow about Fed independence as gold hits a record. Are markets expecting Trump to scale back his rhetoric?

Monero hit a new all-time high of $598 on Monday as interest in privacy-focused coins grows. Retail traders lean into risk as XMR’s derivatives market strengthens, with futures Open Interest swelling to $177 million.