GBPUSD's decline is not over yet
Updated
⚡️GBP/USD continues the losing streak that began on September 20, trading below 1.2150 during the Asian session on Wednesday. Upbeat economic data from the United States (US) reinforces the prevailing pressure on the pair.
⚡️US Consumer Confidence released on Tuesday for September declined to 103.0 from the previous reading of 108.7 in August. While Building Permits rose to 1.541M in August from 1.443M prior.
⚡️Moreover, the House Price Index (MoM) for July climbed to 0.8% compared to the market expectations of 0.5% from the previous rate of 0.4%.
⚡️Additionally, the Federal Reserve’s (Fed) hawkish stance on the interest rate trajectory keeps pushing the US Treasury yields, which is boosting the US Dollar (USD). The yield on the 10-year US Treasury note retreats from the highest level since October 2007, and hovers near 4.51%
⚡️US Consumer Confidence released on Tuesday for September declined to 103.0 from the previous reading of 108.7 in August. While Building Permits rose to 1.541M in August from 1.443M prior.
⚡️Moreover, the House Price Index (MoM) for July climbed to 0.8% compared to the market expectations of 0.5% from the previous rate of 0.4%.
⚡️Additionally, the Federal Reserve’s (Fed) hawkish stance on the interest rate trajectory keeps pushing the US Treasury yields, which is boosting the US Dollar (USD). The yield on the 10-year US Treasury note retreats from the highest level since October 2007, and hovers near 4.51%
Note
The break continues the downtrend
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Note
⚡️GBP/USD builds on the overnight bounce from a multi-month low and edges higher on Thursday.⚡️The USD take a brief pause after rising to a fresh YTD peak and lends some support to the major.
⚡️The divergence Fed-BoE policy outlook might continue to act as a headwind and cap the upside
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Note
⚡️ The GBP/USD initially rose on Friday, but got knocked lower as the market broadly swept back into the US Dollar.Trade active
Note
⚡️ In the view of Markets Strategist Quek Ser Leang and Senior FX Strategist Peter Chia at UOB Group, GBP/USD could now trade between 1.2100 and 1.2380 in the next few weeks.Trade active
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