GBP/USD hovers above 1.2550 ahead of UK GDP

GBP/USD Forecast: Pound Sterling needs a dovish Fed to discourage sellers

GBP/USD came under renewed bearish pressure and fell toward 1.2500 in the early European session on Wednesday. Although the pair managed to stabilize above that level, the near-term technical outlook suggests that the bearish bias stays intact. 

The UK’s Office for National Statistics (ONS) reported on Wednesday that the Gross Domestic Product shrank by 0.3% on a monthly basis in October. This reading followed the 0.2% expansion recorded in September and came in worse than the market expectation for a contraction of 0.1%. Other data from the UK revealed that Industrial Production and Manufacturing Production declined by 0.8% and 1.1% on a monthly basis, respectively. Read more…

GBP/USD hovers above 1.2550 ahead of UK GDP, Fed policy decision

GBP/USD exhibits a sideways movement as it braces for a barrage of data releases from both nations, hovering above 1.2550 in the Asian session on Wednesday. The GBP/USD pair experienced notable volatility in the previous session, driven by employment data from the United Kingdom (UK) and inflation figures from the United States (US).

The UK Office for National Statistics revealed that the Claimant Count Change for November increased to 16.0K from the previous figure of 8.9K, but fell short of the 20.3K expectations. Additionally, the Employment Change for October decreased to 50K from the previous 54K. Read more…

GBP/USD drops sharply below 1.2530 following weaker UK GDP data, eyes on Fed rate decision

The GBP/USD pair drops sharply below the mid-1.2500s during the early European session on Wednesday. The weaker-than-expected UK GDP growth data and Industrial Production weigh on the British Pound (GBP) and create a headwind to the GBP/USD. At press time, GBP/USD is trading at 1.2528, losing 0.34% for the day.

The latest data from the Office for National Statistics on Wednesday showed that UK Gross Domestic Product (GDP)  contracted by 0.3% MoM in October, worse than the 0.1% decline expected and swinging from a 0.2% expansion in September. Read more…