GBP/USD regains positive traction on Monday amid the fresh USD selling

GBP/USD climbs back above mid-1.2600s, closer to over two-month peak touched on Friday

The GBP/USD pair kicks off the new week on a positive note and climbs above mid-1.2600s during the Asian session, closer to over a two-month top touched on Friday. Spot prices now look to build on the momentum beyond the 100-day Simple Moving Average (SMA) amid a weaker sentiment surrounding the US Dollar (USD).

In fact, the USD Index (DXY), which tracks the Greenback against a basket of currencies, drops to its lowest level since December 10 amid doubts about US consumer health, fueled by a disappointing sales forecast from Walmart. Moreover, worries over the impact of US President Donald Trump’s tariffs on price growth and consumer spending, along with a pickup in US stock futures, turn out to be key factors undermining the safe-haven buck. Read more…

GBP/USD slips after hitting record high past 100-day SMA

GBP/USD registers losses on Friday during the North American session after testing the 100-day Simple Moving Average (SMA) at 1.2658. Good economic data from the United Kingdom (UK) pushed the pair towards year-to-date (YTD) highs of 1.2678 before stabilizing at current spot prices. The pair exchanges hands near 1.2660.

S&P Global showed that business activity in the United States (US) weakened further, even though the February manufacturing PMI rose to 51.6, up from 51.2, exceeding forecasts. Nevertheless, the services index disappointed investors, falling into recessionary territory from 52.9 to 49.7, pushing the Composite index to 50.4 from 52.7. Read more…

Pound Sterling weakens against US Dollar as investors see Trump tariffs less fearful

The Pound Sterling (GBP) falls back after posting a fresh two-month high near 1.2680 against the US Dollar in North American trading hours on Friday. The GBP/USD pair surrenders intraday gains and turns negative as the US Dollar bounces back. The US Dollar Index (DXY), which tracks the Greenback’s value against six major currencies, rebounds to near 106.65 from its Year-To-Date (YTD) low of around 106.30, which it posted on Thursday.

On Thursday, the Greenback tumbled as its risk premium had diminished, with investors anticipating that United States (US) President Donald Trump’s tariff agenda won’t lead to a significant slowdown in the global economy. Read more…