British Pound softens as UK political turmoil, hawkish Fed bets weigh
The GBP/USD pair loses ground to near 1.3415 during the Asian trading hours on Tuesday. The British Pound (GBP) edges lower against the Greenback amid UK political turmoil. Traders will take more cues from the UK employment report, which is due later on Tuesday. Read More…
Pound Sterling rides the gilt rout while Westminster wobbles
Cable bottomed at the 1.33 handle in Asian trade and ground higher through London and New York to close back above the 1.34 handle, a session range of roughly 150 pips and a textbook reclaim of the 200-day exponential moving average on the daily chart. The bounce came against the backdrop of a worsening gilt rout, with UK yields climbing as investors digest the political contest now emerging around Prime Minister Keir Starmer’s position. That combination, weaker fiscal backdrop and stronger currency, breaks the usual correlation. The Pound is not rallying because Westminster has stabilised. It is rallying because gilt yields are pushing higher and rate-hike pricing is hardening into the BoE’s June 18 meeting. Read More…
British Pound rises as Burnham reassures, Starmer pressure mounts
The British Pound (GBP) extends its gains on Monday as political pressure over Prime Minister Keir Starmer increases. At the same time, Andy Burnham, the challenger to succeed Starmer, ruled out changing Chancellor Rachel Reeves’ fiscal rules if he becomes PM. The GBP/USD pair trades at 1.3414 after testing multi-week lows of 1.3302. Read More…
