GBP/USD Forecast: Pound Sterling could stretch lower while it remains below 1.2700
GBP/USD closed in negative territory on Thursday and snapped a four-day winning streak. After touching its lowest level in a week below 1.2680 in the early European session on Friday, the pair recovered to the 1.2700 area.
The UK’s Office for National Statistics (ONS) reported earlier in the day that Retail Sales declined 2.3% on a monthly basis in April. This reading followed the 0.2% decrease recorded in March and came in worse than the market expectation for a contraction of 0.4%. This disappointing data doesn’t allow Pound Sterling to gather strength against its rivals. Read more…
GBP/USD Forecast: Pound Sterling struggles to remain bullish after mixed UK PMI
GBP/USD climbed to a two-month-high above 1.2750 on Wednesday after the UK inflation data for April came in stronger than expected but lost its traction in the American session to close the day little changed. Early Thursday, the pair trades in a tight range above 1.2700.
The minutes of the Federal Reserve’s (Fed) April 30-May 1 policy meeting showed that some policymakers were willing to reconsider rate increases if necessary. Although the meeting took place before the US inflation data for April showed modest progress in disinflation, the US Dollar (USD) gathered strength against its rivals after the release of the minutes. Read more…
