Pound Sterling Price News and Forecast: GBP/USD retreats to 1.3780 area with markets bracing

FXStreet Team FXStreet

GBP/USD retreats to 1.3780 area with markets bracing for the Fed

The Pound is trimming gains against the US Dollar on Wednesday, trading a few pips above 1.3780 at the time of writing, down from its highest levels in more than 4 years, at 1.3868. The Greenback has regained some of the ground lost over the last few days, as investors scale down USD shorts ahead of the Federal Reserve’s (Fed) monetary policy decision.

US President Trump’s comments, praising the current U.S. dollar value on Tuesday, added pressure on a currency that was already on the ropes. The US’s erratic trade policies, growing government spending, and the attacks on the Fed have undermined the Dollar, which has lost nearly 3.5% in just over a week. Read more...

GBP/USD soars amid Greenback collapse, breaches four-year highs

GBP/USD is well on its way to a second straight week of strong gains as the US Dollar (USD) gives up the ghost on the back of ongoing trade war rhetoric undercutting the Greenback’s strength. The Pound Sterling is on pace to close in the green for a third straight month against the US Dollar, as the pace of Cable gains continues to pick up the pace and hit multi-year highs.

The Federal Reserve (Fed) is set to announce its first rate decision of the year on Wednesday, with no change expected. Investor focus will be on forward guidance, particularly signals around the timing of potential rate cuts. Futures markets currently price in two quarter-point cuts by the end of 2026. Read more...

Author

FXStreet Team

FXStreet

EUR/USD breaches 1.2000 to hit fresh daily lows

EUR/USD loses further momemtum, breaking below the 1.2000 support to reach daily troughs on Wednesday. The pair has pulled back from a five-year high as demand for the US Dollar picks up again, all prior to the key FOMC gathering late in the European evening.

GBP/USD slips back below 1.3800 on USD-buying

GBP/USD is holding on to chunky losses below the 1.3800 support on Wednesday. Cable’s correction comes amid the US Dollar’s decent comeback as traders lock in profits and square positions ahead of the key policy announcements from the Fed later on Wednesday.

Gold remains bid below $5,300 ahead of Fed

Gold keeps pushing into fresh all-time highs for an eighth straight session, edging past the $5,300 mark per troy ounce early on Wednesday. Investors are still flocking to traditional safe havens amid lingering economic and geopolitical uncertainty ahead of the FOMC event.

BoC set to keep rates unchanged, reinforcing its wait-and-see stance

The Bank of Canada is widely expected to leave its benchmark rate unchanged at 2.25% at Wednesday’s meeting, extending the pause it signalled back in December. The Bank of Canada will announce its policy decision on Wednesday at 14:45 GMT alongside the Monetary Policy Report.

Big Tech Earnings: Tesla, Meta, Microsoft, Apple to steer market trajectory

Four companies are set to decide the direction of the stock market this week, with guidance – not headline earnings – likely determining whether the AI rally continues or cracks.

Bitcoin Cash Price Forecast: Retail interest sparks in BCH amid reversal chances

Bitcoin Cash (BCH) is trading around $600 at press time on Wednesday, framing a potential double bottom reversal on the daily chart. The BCH token is witnessing renewed capital inflows into its futures contracts amid a positive funding rate cycle, signaling renewed investor interest.