GBP/USD Weekly Outlook: Pound Sterling faces resistance ahead of BoE decision
The Pound Sterling (GBP) recovery gathered steam against the US Dollar (USD), driving GBP/USD to three-week highs above 1.2500 before buyers turned to the sidelines.
Sentiment surrounding US President Donald Trump’s tariff plans and the US Federal Reserve’s (Fed) policy outlook remained the primary drivers for the GBP/USD pair in the past week. Read more…
GBP/USD falls below 1.2300 following Trump tariffs
GBP/USD continues its decline for the fifth consecutive session, hovering around 1.2270 during Monday’s Asian trading hours. The pair has weakened by around 1% as the US Dollar Index (DXY), which measures the US Dollar (USD) against six major peers, gains strength following US President Donald Trump’s tariffs against China, Canada, and Mexico.
On Saturday, the US informed that it would impose 25% tariffs on Canadian and Mexican goods, while Chinese exports would face a 10% tariff. Additionally, Canadian energy exports will be subject to a 10% tariff, according to CTV. These tariffs are set to take effect on Tuesday and will remain in place until the fentanyl overdose crisis is “sorted.” In response, Canada, Mexico, and China have pledged retaliatory measures against the sweeping new trade restrictions. Read more…
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Tomi Schewe