- The sale of retail in the UK improves and Boe has seen less dovish, which boosts sterling demand.
- The US dollar forced by risk-on mood and fed entering the pre-meeting blackout.
- Entrepreneurs are paying for basic UK housing data and heavy US economic calendars this week.
Pound Sterling begins the week positively set to finish April strong, up 0.65% while the greenback continues to weaken and risk the appetite. At the time of writing, GBP/USD trading near 1.3400 after bounting off daily lows of 1.3279.
GBP/USD Surge as entrepreneurs favors a stronger view of the UK and missing Fed Hawkishness
Wall Street is trading with acquisitions, a headwind for appetite for haven assets like the US dollar. A difficult economic docket in the US and Federal Reserve officials entering the Blackout Time leading to the May conference to keep entrepreneurs leaning against the release of UK data. The CBI in the UK revealed that retail sales in April were negatively improved from -41 from March to -8, the highest reading since October.
The cable is strengthened by expectations that the Bank of England (BOE) will not be as dovish as expected. Interest rate probabilities show that market participants estimated 87 basis of the points of emergence towards the end of the year. Throughout the lake, the Fed is expected to reduce 88 BPS rates, suggesting that further GBP/USD is seen as investors remain concerned about US trade policies and the recent US dollar weakness.
Barclays analysts remain bullish in Sterling, especially against the euro. “The UK's greater stability in direct tariffs than Eurozone suggests smaller demand damage, thus offset by dragging from a more limited fiscal space,” they said.
This week, the UK Economic Docket will feature housing pricing data. Conversely, in the US, entrepreneurs are looking at GDP numbers for Q1 2025, Fed's preferred gauge gauge, the Core PCE, the ISM Manufacturing PMI, and nonfarm payroll data in April.
GBP/USD Price Forecasting: Technical Perspective
The GBP/USD remains upward bias, even though consumers fail to clear the annual-date (YTD) of 1.3423 highly. A violation will eventually expose 1.3450, leading the challenging 1.3500. On the flip side, if the pair slips below 1.3400, the next support is 1.3350, followed by a 50-day simple transfer of average (SMA) to 1.3273.
British pound price today
The table below shows the percentage change of the British Pounds (GBP) against the listed basic currencies today. The British Pound is the strongest against the US dollar.
| USD | EUR | Gbp | Jpy | Cad | Aud | Nzd | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.15% | -0.56% | -0.61% | -0.17% | -0.24% | -0.13% | -0.49% | |
| EUR | 0.15% | -0.47% | -0.45% | -0.03% | -0.18% | 0.00% | -0.35% | |
| Gbp | 0.56% | 0.47% | 0.00% | 0.46% | 0.27% | 0.48% | 0.13% | |
| Jpy | 0.61% | 0.45% | 0.00% | 0.47% | 0.40% | -0.92% | 0.38% | |
| Cad | 0.17% | 0.03% | -0.46% | -0.47% | -0.20% | 0.04% | -0.31% | |
| Aud | 0.24% | 0.18% | -0.27% | -0.40% | 0.20% | 0.21% | -0.16% | |
| Nzd | 0.13% | 0.00% | -0.48% | 0.92% | -0.04% | -0.21% | -0.36% | |
| CHF | 0.49% | 0.35% | -0.13% | -0.38% | 0.31% | 0.16% | 0.36% |
The heat map shows the percentage change of basic currencies against each other. The base currency is taken from the left column, while the quote currency is taken from the top row. For example, if you choose the British pounds from the left column and move to the horizontal line in the US dollar, the percentage change shown in the box represents GBP (Base)/USD (quote).
