GBP/USD is making a trip downtown on the latest remarks from Federal Reserve governor Powell who has sent the dollar to the heavens and highest levels since late August on the 96 handle. Good old-fashioned fundamentals with respect to interest rate differentials driving the market again. This was the break that the dollar bulls were hoping for with it finally playing catch up with the recent run of upbeat US data and rising US yields. While the pound has otherwise been subject to rather fickle headlines relating to Brexit, cable can finally trade in something factual giving traders clear impetus to short the pair on sound and good old-fashioned fundamentals with respect to interest rate differentials. Comments from Powell have sparked a broad-based bid in the rally and they came as follows: Fed’s Powell: U.S. economy ‘remarkably positive’ Fed’s Powell: May raise rates past ‘neutral’ Fed’s Powell: Not really seen any impact yet from trade disputes “The U.S. 10-year traded as high as 3.18 percent on Wednesday, the highest in seven years, spurred by the surging U.S. economy and a determined Fed. Treasury rates are entering the range of consequence, where higher interest costs will begin to have an economic impact,” Joseph Trevisani, Senior Analyst at FXStreet explained. US data: Joseph Trevisani also explained earlier that the “healthy growth in ADP employment will keep expectations intact for a robust September employment report on Friday with expectations reaching beyond the 188,000 consensus forecast.” And with respect to the services data, Joseph notes that the sector continues to drive the U.S. economy to new heights: “Record levels of business optimism combined with the very strong ADP report, point to a further acceleration in the already robust job market in Friday’s payroll report.” GBP/USD levels Analysts at Commerzbank argued that below 1.2785 will imply a retest of the 1.2662 August low. However, RSI is now int the realms of oversold territory but ATR is stretched. FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next Bitcoin Price Analysis: BTC/USD price action is extremely narrow, as big players buy Bitcoin behind closed doors FX Street 4 years GBP/USD is making a trip downtown on the latest remarks from Federal Reserve governor Powell who has sent the dollar to the heavens and highest levels since late August on the 96 handle. Good old-fashioned fundamentals with respect to interest rate differentials driving the market again. This was the break that the dollar bulls were hoping for with it finally playing catch up with the recent run of upbeat US data and rising US yields. While the pound has otherwise been subject to rather fickle headlines relating to Brexit, cable can finally trade in something factual giving traders clear impetus… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.