GBP/USD tumbles below 1.2700 as Fed officials push back against rate cuts
The GBP/USD extended its losses for the second straight day, spurred by the rise in US Treasury bond yields, while the Greenback (USD) trimmed some of its earlier losses on the day. The major is trading at 1.2641, down 0.31%.
In the last week, the US Federal Reserve (Fed) and the Bank of England (BoE) held their latest interest rate decisions, with both central banks maintaining the reference rates unchanged but striking the financial markets with different messages. The Fed Chairman Jerome Powell delivered a dovish message, sponsoring the GBP/USD rally from around 1.2500 to 1.2793. Read more…
GBP/USD remains limited below 1.2700 ahead of UK CPI data
The Sterling is drifting lower on Monday, with upside attempts capped below 1.2700, following rejection at 1.2790 last Friday, as hawkish Fed officials came to the US Dollar´s rescue.
Fed Williams surprised the market, downplaying hopes of fed cuts in March. Shortly afterwards, he was backed by Atlanta Fed President, Raphael Bostic, observing that he does not expect any monetary easing before the third quarter of 2024. Read more…
GBP/USD should find support on dips to the 1.2600/1.2620 area – Scotiabank
GBP/USD drifts after solid gains last week. Economists at Scotiabank analyze the pair’s outlook. Read more…
Source: https://www.fxstreet.com/news/pound-sterling-price-news-and-forecast-gbp-usd-extended-its-losses-below-12650-202312181942