Pound Sterling Price News and Forecast: GBP/USD remains vulnerable

FXStreet Team FXStreet

GBP/USD rebounds from 1.2200 on improved risk appetite, UK GDP in focus

The GBP/USD pair has sensed buying interest after correcting to near the critical support of 1.2200. The asset is aiming to recapture its six-week high at 1.2293 as investors’ risk appetite has improved dramatically after a significant decline in the US inflation rate.

GBP/USD

Overview
Today last price	1.2211
Today Daily Change	-0.0004
Today Daily Change %	-0.03
Today daily open	1.2215

Trends
Daily SMA20	1.2066
Daily SMA50	1.2153
Daily SMA100	1.2445
Daily SMA200	1.2926

Levels
Previous Daily High	1.2277
Previous Daily Low	1.2065
Previous Weekly High	1.2294
Previous Weekly Low	1.2003
Previous Monthly High	1.2246
Previous Monthly Low	1.176
Daily Fibonacci 38.2%	1.2196
Daily Fibonacci 61.8%	1.2146
Daily Pivot Point S1	1.2094
Daily Pivot Point S2	1.1974
Daily Pivot Point S3	1.1883
Daily Pivot Point R1	1.2306
Daily Pivot Point R2	1.2397
Daily Pivot Point R3	1.2518

GBP/USD: Pound remains vulnerable, could break under 1.20 again

Despite the broad-based slide of the US dollar on Wednesday following the US CPI, analysts at Rabobank still see the GBP/USD vulnerable to the downside and warn it could drop back again under 1.20 on a one to three-month view.

GBP/USD declines as market caution lifts US Dollar

GBP/USD extends its gains for the second successive day, trading around 1.3200 during the Asian hours on Wednesday. The currency pair depreciated as the US Dollar gained momentum, driven by a combination of robust domestic economic data and a complex, mixed geopolitical landscape.

EUR/USD weakens below 1.1400 as Fed hike bets lift US Dollar

The EUR/USD pair trades on a negative note near 1.1380 during the early Asian trading hours on Wednesday. The major pair extends the decline as traders continue to assess the developments surrounding the US-Iran peace deal.

Gold nurses losses near $4,100 as Fed hike bets support USD

Gold recovers slightly from a fresh two-week low, near $4,070 touched during the Asian session on Wednesday, though it lacks follow-through. The US Dollar stands firm near its highest level since May 2025 amid firming expectations of a Fed rate hike, which, in turn, is seen undermining the non-yielding bullion. Furthermore, mixed US-Iran signals further favor the USD bulls.

Global strategy 3Q 2026

With the signing of a framework agreement and subsequent negotiations between the U.S. and Iran in June, the outlook for the third quarter is favorable. Oil prices have already fallen sharply, and futures are pricing in a further decline over the course of the year. This will ease the burden on consumers and reduce uncertainty among businesses, with positive effects on the economy.

"Rearranging the deckchairs on the Titanic": UK's fiscal crisis outlasts another Prime Minister

Keir Starmer's resignation as the UK Prime Minister comes ten years after the Brexit referendum vote, a coincidence that financial markets have been quick to note. The British Pound trades around 1.3220 against the US Dollar on Thursday.

Regime change: Inside Kevin Warsh's first move to make the Fed unreadable on purpose

The rate did not move. That was the least interesting thing about Kevin Warsh's first meeting in charge of the Fed. The FOMC held its benchmark at 3.50%-3.75% for the fourth straight meeting, exactly as priced, and then the new chair used his first press conference to dismantle the machinery the market has leaned on for a decade.