The ongoing US-Iran ceasefire and Trump's recent push for a settlement supported improved risk appetite. DXY showed consolidation in its ascending channel while EUR/USD tested key support and GBP/USD defended rising channel floor.
British Pound: Bullish bias within higher band against US Dollar – UOB
The Pound to Australian Dollar (GBP/AUD) exchange rate remained close to two-month highs on Thursday as escalating tensions in the Middle East continued to weigh on global risk appetite and undermine demand for the risk-sensitive Australian Dollar. At the time of writing, GBP/AUD was trading at AU$1.9097 after touching a two-month high of.
GBP/USD Price Forecast: Stays capped below key 100-day SMA with UK GDP in focus
Pound Sterling Price News and Forecast: GBP/USD slips as war-driven PPI fuels US Dollar rebound
Our previous outlook for GBPUSD still stands, as the pair has held above the 1.3280 support level. GBPUSD managed to hold above 1.3280 and has rebounded toward 1.3500 so far.
Hot May CPI readings tempered rate-cut hopes and supported the US Dollar as markets assessed the ongoing Middle East truce. DXY showed strong breakout above $100 while EUR/USD tested key support and GBP/USD defended rising channel floor.
GBP/CHF may be offering one of the clearest examples of how monetary policy divergence and technical analysis can reinforce each other. The cross surged to its highest level since January this week, after breaking through key near term resistance at 1.0674.
The Pound to Dollar (GBP/USD) exchange rate edged higher on Wednesday as the US Dollar struggled to capitalise on another rise in inflation, while a lack of major UK economic releases left Sterling trading in a narrow range. At the time of writing, GBP/USD was trading at $1.3401, up around 0.2% on the day despite data showing US inflation.
GBP/USD Price Forecast: Eyes 1.3400 amid modest USD weakness; remains below weekly top
Pound Sterling Price News and Forecast: GBP/USD hovers near 1.3400 as hot US CPI weighs on USD
The GBP/USD forecast remains tilted to the downside as investors await a crucial US inflation report that could further strengthen the case for tighter monetary policy from the Federal Reserve. While the dollar has already enjoyed a strong recovery over recent weeks, upcoming inflation data may determine whether that rally has further room to run.