Pound Sterling Price News and Forecast: GBP/USD struggles to capitalize on its gains

FXStreet Team FXStreet

GBP/USD eases from multi-week high, trades with negative bias below mid-1.2700s

The GBP/USD pair oscillates in a range below mid-1.2700s during the Asian session on Friday and consolidates its recent gains registered over the past three days, to over a three-week high touched the previous day. Traders now seem reluctant to place aggressive bets and opt to wait for the release of the crucial US monthly employment details later today.

The popularly known Nonfarm Payrolls (NFP) report will be looked upon for the interest rate outlook in the US and guide the Federal Reserve (Fed) policymakers on their next policy decision at the December meeting. This, in turn, will help determine the near-term trajectory for the US Dollar (USD) and provide some meaningful impetus to the GBP/USD pair. In the meantime, the recent decline in the US Treasury bond yields fails to assist the USD attract any meaningful buyers or recover from a multi-week low. Read more...

GBP/USD rallies on rate cut hopes, NFP Friday in the barrel

GBP/USD climbed on Tuesday, bolstered by Bank of England (BoE) Governor Andrew Bailey tipping his hand and revealing a path forward to further rate cuts in 2025. Broad-market investor sentiment remains on the high side, although a fresh round of key US Nonfarm Payrolls (NFM) jobs figures are looming just ahead on Friday.

BoE Governor Bailey noted earlier Thursday that he sees around four rate cuts in 2025, which briefly sent the Pound stumbling during the London market session, but GBP traders quickly recovered their footing and pushed Cable back into the high end for the day. The head of the UK central bank reiterated cautious talking points and reaffirmed a data-dependent stance, helping to keep market expectations on-balance that the BoE will leave rates unchanged on December 19. Read more...

Author

FXStreet Team

FXStreet

EUR/USD deflates to fresh lows, targets 1.1600

The selling pressure on EUR/USD now gathers extra pace, prompting the pair to hit fresh multi-week lows in the 1.1625-1.1620 band on Friday. The continuation of the downward bias comes in response to further gains in the US Dollar as market participants continue to assess the mixed release of US Nonfarm Payrolls in December.

GBP/USD breaks below 1.3400, challenges the 200-day SMA

GBP/USD remains under heavy fire and retreats for the fourth consecutive day on Friday. Indeed, Cable suffers the strong performance of the Greenback, intensified post-mixed NFP, and trades at shouting distance from its critical 200-day SMA near 1.3380.

Gold flirts with yearly tops around $4,500

Gold keeps its positive bias on Friday, adding to Thursday’s advance and challenging yearly highs in the $4,500 region per troy ounce. The risk-off sentiment favours the yellow metal despite the firmer tone in the Greenback and rising US Treasury yields.