Pound Sterling Price News & Forecast: GBP/USD slips as Oil-supply fears revive Dollar-haven demand.

FXStreet Team FXStreet

British Pound wilts as Oil shock sends US yields past 5%

The Pound Sterling (GBP) edges lower by some 0.07% against the US Dollar (USD) on Tuesday, with the latter enjoying inflows due to its haven status amid fears of a possible Oil supply shortage. The GBP/USD pair trades at 1.3487, after peaking at around 1.3505.

The Middle East conflict continues to escalate and a quick resolution seems far from happening. Both crude Oil benchmarks, Brent and West Texas Intermediate (WTI), rose by over 2.40% and 1.10%, respectively, triggering a jump in US Treasury yields, with the 10-year rising to 5.041%, a level last seen in 2007. Read more...

British Pound: Further weakness eyed toward 1.3410 against US Dollar – UOB

UOB’s Quek Ser Leang reports GBP/USD slipped below 1.3475 before rebounding, with intraday trade now expected between 1.3470 and 1.3520. He notes building downside momentum and sees scope for further British Pound (GBP) weakness, though the major support at 1.3410 may not be tested immediately. A break above 1.3540 would signal that 1.3410 is likely out of reach for now.

"24-HOUR VIEW: We expected GBP to “consolidate between 1.3485 and 1.3540” yesterday. Our view was incorrect as GBP fell to a low of 1.3464 before rebounding to close 0.27% lower at 1.3499. The rebound from oversold conditions suggests that instead of continuing to decline, GBP is more likely to trade in a range today, probably between 1.3470 and 1.3520." Read more...

British Pound trades mixed after steady UK employment report, CPI data eyed

The British Pound (GBP) reflects a mixed performance against its currency peers after the release of the United Kingdom (UK) labor market data for three months ending July.

The Office for National Statistics (ONS) reported that the economy created 67K fresh jobs, lower than 83K in three months ending June. The ILO Unemployment Rate remained steady at 4.9%, while it was expected to increase to 5%. Read more...

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