Pound Sterling Price News and Forecast: GBP/USD remains steady due to market caution ahead of the US NFP

FXStreet Team FXStreet

GBP/USD steadies around 1.2900 as traders adopt caution ahead of US Nonfarm Payrolls

GBP/USD holds little gains after registering losses in the previous session, trading around 1.2880 during the Asian hours on Friday. The pair steadies as traders adopt caution ahead of the US Nonfarm Payrolls (NFP) report scheduled to be released later in the North American session.

The US Dollar Index (DXY), which measures the USD against six major currencies, extends its losing streak for the fifth successive day, driven by falling US Treasury yields as markets anticipate more aggressive Fed rate cuts this year amid US growth concerns. The DXY is trading around 104.00 with 2- and 10-year yields on US Treasury bonds standing at 3.94% and 4.24%, respectively, at the time of writing. Read more...

GBP/USD snaps winning streak as Cable markets take a breather

GBP/USD faltered on Thursday, ending a stellar three-day run that saw the Pound Sterling gain 2.57% bottom-to-top against the Greenback from the start of the week. A sharp readjustment to central bank rate cut expectations means Cable will see a far thinner interest rate differential than previously anticipated, prompting a harsh rebalancing in currency markets.

Rate markets are now pricing in fewer than 50 bps in rate cuts from the Bank of England (BoE) in 2025, a sharp drawdown in rate cut expectations as central banks continue to grapple with sticky inflation. Despite a general weakening in the UK’s domestic economy which would normally prompt a rate response from the BoE, still-high inflation metrics have tied policymakers’ hands. Read more...

GBP/USD rally stalls near 1.2900 as trade war fears weigh on traders

The rally in the Pound Sterling (GBP) stalled after sustaining three straight days of gains. It remains firmly below 1.2900 after hitting a year-to-date (YTD) peak of 1.2923. At the time of writing, the GBP/USD is trading at 1.2885 and registers minuscule losses of 0.06%.

The market mood remains negative amid a trade war spurred by the United States (US), which imposed tariffs on imports from Canada, Mexico and China. Even though three of the largest US automakers experienced a one-month delay in tariffs on automobile imports from Mexico and Canada, investors are flocking toward safe-haven assets. Read more...

Author

FXStreet Team

FXStreet

Markets move fast. We move first.

Orange Juice Newsletter brings you expert driven insights - not headlines. Every day on your inbox.

Editor's Picks

EUR/USD tests 1.1800, closes in on a fresh two-month high

EUR/USD extends its gains for the second consecutive day on Tuesday and trades near 1.1800. The broad-based US Dollar weakness and a potential policy divergence between the European Central Bank and the Federal Reserve keep the bullish bias intact heading into the holiday season.

GBP/USD climbs above 1.3500 area, renews 11-week peak

GBP/USD extends its weekly rally and trades at its highest level since early October above 1.3500. The US Dollar remains under persistent bearish pressure heading into the Christmas break, while Pound traders largely brush off the latest interest rate cut from the Bank of England.

Gold approaches $4,500 as record-setting rally continues

Gold builds on Monday's impressive gains and advances toward $4,500, setting fresh record-highs along the way. Heightened geopolitical tensions, combined with the ongoing US Dollar (USD) selloff ahead of the Q3 GDP data, help XAU/USD preserve its bullish momentum.

US GDP expected to highlight steady growth in Q3

The United States Bureau of Economic Analysis (BEA) will publish the first preliminary estimate of the third-quarter Gross Domestic Product on Tuesday, at 13:30 GMT. Analysts expect the data to show annualized growth of 3.2%, following the 3.8% expansion in the previous quarter.

Ten questions that matter going into 2026

2026 may be less about a neat “base case” and more about a regime shift—the market can reprice what matters most (growth, inflation, fiscal, geopolitics, concentration). The biggest trap is false comfort: the same trades can look defensive… right up until they become crowded.

XRP steadies above $1.90 support as fund inflows and retail demand rise

Ripple (XRP) is stable above support at $1.90 at the time of writing on Monday, after several attempts to break above the $2.00 hurdle failed to materialize last week. Meanwhile, institutional interest in the cross-border remittance token has remained steady.