GBP/USD softens below 1.3350 on renewed US Dollar demand
The GBP/USD pair loses ground to around 1.3330 during the Asian trading hours on Thursday. The major pair retreats from nearly a two-month high amid renewed US Dollar (USD) demand. However, the rising bets of a Federal Reserve (Fed) rate cut next week might cap its downside. Traders will take more cues from the US weekly Initial Jobless Claims report later on Thursday.
Weaker US economic data this week, including Manufacturing PMI and ADP Employment Change, have cemented the case for a rate reduction from the US central bank at the December meeting. This, in turn, could weigh on the Greenback and create a tailwind for the major pair. Read more…
GBP/USD soars to one-month high as speculation over Hassett fuels Fed-pivot bets
GBP/USD rallies on Wednesday during the North American session, surpassing the 1.3300 figure as market participants price in a more dovish Federal Reserve (Fed), as rumors grow that the White House economic adviser Kevin Hassett could become the next Chair, taking Jerome Powell’s reins.
The US Dollar continues to weaken following remarks by US President Donald Trump on Tuesday, who said that a “potential” Fed Chair was around in his press conference at noon. The US ISM Services PMI revealed that activity remained steady in November, coming at 52.6, up from 52.4 and exceeding forecasts of 52.1. Although expanded, orders slowed, the employment sub-component is still subdued, and input prices are tilted to the upside. Read more…
