GBP/USD rises toward 1.2550 as US Dollar continues to correct downwards
GBP/USD continues to rise for the third consecutive day, trading near 1.2530 during Tuesday’s Asian session. The pair’s upward momentum is driven by a subdued US Dollar (USD). Later in the day, the US ISM Services Purchasing Managers Index (PMI) is set to be released. On Wednesday, markets will focus on the Minutes from the Federal Reserve’s (Fed) December policy meeting.
The US Dollar Index (DXY), which tracks the USD’s performance against six major currencies, remains under pressure for the third straight session, trading near 108.30 at the time of writing. However, the Greenback may find some support following President-elect Donald Trump’s comments that his tariff policy will not be scaled back. Read more…
GBP/USD extends into a two-day win streak as Pound recovers
GBP/USD extended into its second day of gains in a row, kicking off the new trading week gaining seven-tenths of one percent and dragging bids back above the 1.2500 handle after last week’s bearish plunge below 1.2400. Purchasing Managers Index (PMI) figures missed the mark on both the UK and US sides. However, a general milieu of rising risk appetite kept safe-haven flows into the Greenback at bay.
UK PMI figures for December entirely missed the mark, printing below Wall Street forecasts and falling back but remaining above the 50.0 watermark for contraction expectations. The Composite PMI in particular fell to a 13-month low, easing to 50.4 from the expected hold at 50.5. Read more…
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