GBP/USD clings to weekly gains amid weakness in the US Dollar

GBP/USD Price Forecast: Extends recovery to near 20-day EMA as US Dollar weakens

The Pound Sterling (GBP) holds onto weekly gains around 1.3565 against the US Dollar (USD) during the Asian trading session on Thursday. The GBP/USD pair trades firmly as the US Dollar remains under pressure due to uncertainty surrounding the United States (US) trade policy outlook.

During the press time, the US Dollar Index (DXY), which tracks the Greenback’s value against six major currencies, trades marginally lower to near 97.55. Read more…

GBP/USD bounces as soft CPI boosts BoE cut bets

GBP/USD rose 0.42% on Wednesday, recovering toward 1.3600 in a session shaped by softer-than-expected UK inflation data and broad US Dollar weakness. The pair had been consolidating in a tight range between about 1.3450 and 1.3520 for the past few days following the sharp pullback from the late-January high near 1.3870, and Wednesday’s move pushed price action back onto the high side of key moving averages.

The Office for National Statistics (ONS) reported that UK Consumer Price Index (CPI) inflation fell to 3.0% in January from 3.4% in December, a sharper decline than expected and the lowest reading since mid-2025. The drop bolstered expectations that the Bank of England (BoE) will cut rates at its March 19 meeting, with markets now pricing roughly 80% odds of a 25 basis point reduction. Governor Andrew Bailey, testifying before parliament’s Treasury Committee on Tuesday, had already called a March cut “a genuinely open question,” while noting that services price inflation at 4.4% has not eased as much as the BoE had forecast. Chief Economist Huw Pill echoed the caution, warning against being “beguiled” by headline inflation falling toward the 2% target. UK labor data earlier in the week showed unemployment rising to a five-year high of 5.2%, further supporting the case for easing. Read more…

GBP/USD climbs as US Dollar stalls amid trade uncertainty

The Pound Sterling (GBP) advances during the North American session on Wednesday as the Greenback remains unchanged amid uncertainty over US trade policies, with investors awaiting results of one of the seven megacap companies after the Wall Street close. At the time of writing, GBP/USD trades at 1.3523, up 0.29%.

The scarce economic data in the US and the UK left traders adrift to comments by Federal Reserve (Fed) and Bank of England (BoE) officials, along with investors’ expectations for monetary policy. Read more…