top of page

Title: GBP/USD slides further below mid-1.3900s, fresh six-week lows

  • Writer: analysiswatch
    analysiswatch
  • Jun 17, 2021
  • 2 min read

Jun 17, 2021 11:59:05 AM GMT

By: AnalysisWatch

  • GBP/USD grew to become decrease for the 5th consecutive consultation on Thursday amid sustained USD buying.

  • The Fed’s hawkish shift, a usually softer chance tone endured underpinning the safe-haven USD.

  • Brexit/COVID-19 woes acted as a headwind for the sterling and contributed to the promoting bias.

The pair struggled to capitalize on its early uptick, as an alternative met with a few sparkling deliver close to the important thing 1.4000 mental mark and grew to become decrease for the 5th consecutive consultation on Thursday. The ongoing downward trajectory became completely subsidized through robust follow-thru US greenback wonderful flow to the very best stage considering the fact that April 13.

The Fed amazed markets with a hawkish activate Wednesday and indicated that price hikes ought to come as quickly as 2023. The so-known as dot plot pointed to 2 hikes through the quilt of 2023 as in opposition to March's projection for no boom till 2024. A hawkish shit endured appearing as a tailwind for the USD and exerted a few stress at the GBP/USD pair.

On the alternative hand, the British pound became weighed down through issues approximately the EU-UK collision over Northern Ireland protocol. In the ultra-modern Brexit-associated developments, UK Prime Minister Boris Johnson stated on Wednesday that they'll should take steps to make certain the post-Brexit exchange among Britain and NI is uninterrupted.

This, together with the United Kingdom government's choice to keep off the timeline for the very last level of easing lockdown measures to July 19, in addition contributed to the presented tone surrounding the GBP/USD pair. In the absence of any fundamental market-transferring financial releases, the USD rate dynamics will retain to play a key position in using the fundamental.



 
 
 

Comments


2b94f773-a237-4da7-a599-6b42314ed9e6.png

Risk Disclosure: AnalysisWatch will not accept any liability for loss or damage as a result of reliance on the information contained within this website including data, quotes, charts and buy/sell signals. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible. Currency trading on margin involves high risk, and is not suitable for all investors. Before deciding to trade foreign exchange or any other financial instrument you should carefully consider your investment objectives, level of experience, and risk appetite.
AnalysisWatch would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore AnalysisWatch doesn’t bear any responsibility for any trading losses you might incur as a result of using this data.

bottom of page