GBP/USD Price Forecast: 38.2% Fibo retracement acts as key barrier near 1.3470
GBP/USD delivered a bullish reversal on Thursday, breaking downtrend resistance in the process, driven by a mammoth repricing in UK rates, a sharp reversal in energy prices, and a late improvement in risk appetite.
GBP/USD surges after BoE's unanimous pivot catches markets off guard
The Pound to Dollar exchange rate saw volatile trade following the latest Federal Reserve and Bank of England policy decisions, with Sterling attempting to recover earlier losses. Latest — Exchange Rates:Pound to Dollar (GBP/USD): 1.34323 (+1.27%)Euro to Dollar (EUR/USD): 1.15858 (+1.07%)Dollar to Japanese Yen (USD/JPY): 157.713.
The Pound to Australian Dollar exchange rate jumped higher after the Bank of England struck a hawkish tone, prompting markets to price in further interest rate hikes. Latest — Exchange Rates:Pound to Australian Dollar (GBP/AUD): 1.89568 (+0.46%)Pound to Dollar (GBP/USD): 1.34323 (+1.27%)Australian Dollar to Dollar (AUD/USD): 0.70858.
GBP/USD surges as BoE holds rates, hints inflation risks remain
GBP/USD rises as BoE surprises with unanimous rate hold amid inflation concerns
The pair managed to rebound after printing a 1.3217 low last Friday. As we see from the Intraday chart, prices face a support trend around 1.3200, which could give the chance for a rebound towards 1.3460-80.
GBP/USD is struggling around 1.32 after UK jobs data, a hawkish twist from the Federal Reserve, and ahead of the Bank of England rate decision.
The US Dollar holds the 100 level as a hawkish Fed and 3.4% annual PPI data crush rate cut hopes. See how this impacts the latest GBP/USD and EUR/USD outlook.
When is the UK Jobs report and how could it affect GBP/USD?
Pound Sterling Price News and Forecast: GBP/USD drifts higher to around 1.3290 on Thursday