Pound Sterling (GBP) is soft, down a marginal 0.2% against the US Dollar (USD) and a relative performer among the G10 in an environment of mild, albeit broad-based USD strength, Scotiabank’s Chief FX Strategist Shaun Osborne notes.
BoE Governor Bailey strikes cautiously neutral tone.
“Comments from BoE Gov. Bailey are providing some near-term headline risk and can be characterized as cautiously neutral with a focus on the near-term risk of inflation balanced against medium to longer term concerns about the outlook for the UK labor market. Fundamentally, UK-US yield spreads are offering support to GBP/USD.”
“GBP/USD is in a clear bull trend with a multimonth sequence of higher lows and higher highs following its recovery from its January low around 1.22. Its latest push has cleared fresh multi-year highs and its momentum remains bullish but well short of overbought levels, leaving ample room for further gains
- Gold outlook: Bulls take a breather under new multi-week high ahead of US economic data
- Gold Price Forecast: XAU/USD clings to 100-day SMA, with upside risks intact
- Euro steadies against Pound Sterling as traders await UK GDP verdict
- Gold Price Forecast: XAU/USD awaits US CPI inflation for the next big move
- Gold Price Forecast: XAU/USD extends bullish run above $4,400; will it last?
Free Forex Signals 
Leave a comment