GBPUSD recovered insignificantly

2024年5月30日

The GBP/USD pair weakened to 1.2695 during the Asian session

The GBP/USD pair fell to 1.2695 during the Asian session on Thursday. The main cause of this decline was the strengthening of the US Dollar (USD) amid higher US interest rates and reduced expectations of an interest rate cut by the Federal Reserve (Fed) in September. In recent weeks, Fed officials have taken a cautious stance on the inflation outlook, leading traders to reduce expectations for an easing cycle this year.
Market movements

According to the CME FedWatch Tool, markets are pricing in a 50% chance that the Fed will leave interest rates unchanged in September. The combination of the Fed's cautious stance and stronger US economic data has provided support. support for the USD in previous sessions.

Economic forecast

Investors will get more cues from the second estimate of U.S. Gross Domestic Product (GDP) for the first quarter of 2024, which is expected to grow 1.3%. If the report shows better-than-expected results, this could boost USD further and create a drag on GBP/USD. Additionally, economic data such as US Weekly Initial Jobless Claims, Merchandise Trade Balance and Pending Home Sales will be released later in the day. Statements from Fed officials such as Raphael Bostic, John Williams and Lorie Logan are also expected to have an impact.

Support: 1,265- 1,260
Resistance: 1,275 - 1,280

2024年5月31日

交易结束：到达目标

Hit TP for BUY AND SELL signals