GBP/USD attracted some dip-buying on Tuesday, though lacked strong follow-through.Rising US bond yields provided a strong lift to the USD and capped any further upside.The GBP/USD pair rallied nearly 50 pips from the early European session low and shot to a fresh daily high, around mid-1.3500s in the last hour.
The pair attracted some dip-buying in the vicinity of the key 1.3500 psychological mark on Tuesday and is now looking to build on the overnight bounce from a four-day low. The uptick lacked any obvious fundamental catalyst and runs the risk of fizzling out rather quickly amid a goodish pickup in the US dollar demand.
GBP/USD pair. In the recent development, a German official said on Thursday that Britain should respect post-Brexit trade rules or else face consequences.
GBP/USD rebounds to 1.3550 area ahead of US data.GBP/USD regained its traction after edging lower toward 1.3500 earlier in the session and turned positive on the day near 1.3550. Ahead of mid-tier data releases from the US, the US Dollar Index clinging to small daily gains above 95.50, limiting the pair’s rebound.
Gold pulls back before targeting $1,826 and $1,830.Gold price retreats from weekly highs as firmer Treasury yields lift the USD. Hawkish Fed expectations limit gold’s upside despite inflation worries.