Price Target - 1.31
GBP Interest Rate Adjusted for Inflation - 3.25%
USD Interest Rate Adjusted for Inflation - 2.50%
GBP's strength over the USD is mainly due to strong interest rates from the Bank of England along with the Federal Reserve signalling a rate cut due to lower inflation which will further weaken the dollar.
The Bank of England currently has no motivation to cut rates in August which means GBP strength will continue.
Based on the Fed cutting rates, possibly in August, GBPUSD should have no issue in continuing to move higher.
GBP Interest Rate Adjusted for Inflation - 3.25%
USD Interest Rate Adjusted for Inflation - 2.50%
GBP's strength over the USD is mainly due to strong interest rates from the Bank of England along with the Federal Reserve signalling a rate cut due to lower inflation which will further weaken the dollar.
The Bank of England currently has no motivation to cut rates in August which means GBP strength will continue.
Based on the Fed cutting rates, possibly in August, GBPUSD should have no issue in continuing to move higher.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.