The sell-off of the greenback continues into the wake of the European session and the pound is there to take advantage.
GBP/USD is advancing and is now flirting with the round 1.25 number. Update: we have a break and above 1.25. The next level of resistance awaits at 1.2540, which capped the pair before the recent drift to the downside. Further resistance is at 1.2630.
One week after the Federal Reserve’s dovish hike, and the echoes refuse to dissipate. The Fed seemed to take the opportunity to raise rates amid calm markets but did not alter its outlook: no acceleration in the pace of interest rate advances is expected.
The pound continues marching forward, buoyed by UK inflation, which is picking up. The latest figures show headline CPI at 2.3% and core inflation also on the move. The pound ignored the comments by BOE Governor Mark Carney that seemed to downplay the figures as a “one off” and continued advancing. Carney is probably happy to
The pound ignored the comments by BOE Governor Mark Carney that seemed to downplay the figures as a “one off” and continued advancing. Carney is probably happy to send the pound recovering: this implies lower inflation down the road and no need to raise rates.
More: GBP: It’s Not Only About Brexit Uncertainty; A Sell On Rallies – Credit Agricole
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