GBP/USD pokes 1.2200 at two-year low as risk-aversion joins Brexit woes, softer UK data
GBP/USD licks its wounds near 1.2200, after refreshing a two-year low during the uninterrupted fall in the last six days, during the initial Asian session on Friday. In addition to the broad US dollar strength, pessimism surrounding Brexit and the UK’s economic fears are extra negatives that drowned the cable during the last few days.
GBP/USD: Pound under pressure as growth prospects deteriorate
The deterioration in the growth outlook in the United Kingdom has been negative for the pound, explained analysts at CIBC. They forecast the GBP/USD pair will remain around 1.22 during the next months. “The updated BoE macro outlook now reflects a negative GDP trajectory in 2023, the bank now assumes -0.25% rather than 1.25% previously.
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