About 9.5% of daily trades. Referred to as “Cable,” it’s volatile but widely traded due to the strength of the UK and U.S. economies
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Original article: https://www.ig.com/en-ch/news-and-trade-ideas/test3-250715
GBP/USD drops to multi-week lows amid rising UK inflation fears and Fed’s hawkish stance. Renewed US-UK tariff tensions and risk-off sentiment deepen pressure on sterling, signaling potential for further declines. Markets watch BoE’s next move closely as sterling breaks critical support levels.
GBP/USD remains vulnerable after breaking a key trendline support dating back to September 2022. This technical breach signals a bearish shift, with a possible 600-pip decline targeting the 1.2300–1.1800 zone. Weaker UK economic data, a dovish BoE stance, and a stronger USD compound downside risks ahead. Traders should prepare for increased volatility.
U.S. Dollar rallies strongly post-CPI as inflation surprises to the upside, impacting key pairs: EUR/USD breaks below 1.0800 amid bearish momentum; USD/JPY hits multi-decade highs above 153.50 driven by yield differentials; GBP/USD and USD/CAD also react to Fed policy repricing. Traders should watch critical support/resistance for signs of continuation or reversal. Analysis by Matt Weller, CFA, CMT (Forex.com).
Pound to dollar faces renewed downside pressure after U.S. inflation data shows cooling price growth, boosting hopes for Federal Reserve rate cuts. With UK growth sluggish and political uncertainty rising, GBP/USD risks breaking multi-month lows as the dollar gains strength.
GBP/USD edges higher amid cautious optimism as traders await BoE Governor Bailey’s speech and the U.S. CPI inflation report. Market focus sharpens on central bank signals and inflation data to gauge the pair’s next directional move. #Forex #GBPUSD
GBP/USD edges higher near 1.2745 as investors await BoE Governor Bailey’s speech and US CPI data. Markets focus on potential shifts in monetary policy and inflation signals that could sway the Pound and Dollar ahead of key economic updates.
FTSE 100 hits record highs driven by strong corporate earnings, energy sector momentum, and UK economic resilience. For Forex traders, this surge highlights the inverse relationship between the index and GBP—weakening pounds often boost FTSE returns due to overseas earnings. Stay alert to BoE policy shifts and geopolitical factors influencing both equities and currency pairs.
The Japanese yen weakens against the US dollar as the BOJ maintains its ultra-loose policy, widening the yield gap with the US. Markets watch closely for potential Ministry of Finance intervention amid USD/JPY surging above 160. Key upcoming US data could drive further volatility.
USD/JPY is under pressure as the yen strengthens amid possible intervention signals from Japanese officials. Safe-haven demand rises due to US political uncertainty and Middle East tensions, while markets watch closely for shifts in Fed and BOJ policies. Key levels near 160 yen per dollar remain critical.
