CFD Market Analysis: GBPUSD Trading Rate

13.03.2025 15:31

GBP/USD holds steady near 1.2950 as traders brace for UK GDP data

GBP/USD remains near 1.2950, cautiously, after US PPI data came slightly below expectations at 3.2% YoY.
US jobless claims fell to 220K, highlighting labor market resilience despite mixed inflation outlook from recent tariffs.
Traders anticipate UK GDP report Friday; expected slowdown to 0.1% MoM.

The Pound Sterling stayed firm at nearly 1.2950 against the Greenback on Thursday following the release of economic data from the United States (US). Inflation and jobs figures came in mixed but signaled that the economy remains solid. The GBP/USD trades at 1.2948, down 0.07%.

Mixed US economic signals keep Sterling rangebound; upcoming UK growth report eyed as next catalyst

Data from the US showed that prices paid by producers were mainly aligned with estimates. The US Bureau of Labor Statistics (BLS) revealed that the Producer Price Index (PPI) in February came softer than the 3.3% expected at 3.2% YoY, down from the prior month’s 3.7%. Excluding volatile items, the so-called Core PPI increased by 3.4% YoY, beneath estimates of 3.5% and down from 3.6%.

Even though the latest US inflation reports were cooler than foreseen, tariffs imposed on imports to the US can spark a reacceleration of inflation, with economists estimating that prices will begin to rise in the months ahead.

Other data showed that Initial Jobless Claims for the week ending March 8 dipped from 222K to 220K, below forecasts of 225K.

Across the pond, traders are eyeing the release of Gross Domestic Product (GDP) figures on Friday. The 3-month rollover is estimated at 0.3%, up from 0.1% in the previous report. GDP in January is expected to dip from 0.4% to 0.1% MoM.

In the US, investors would digest the University of Michigan (UoM) Consumer Sentiment report for March.

GBP/USD Price Forecast: Technical outlook

The GBP/USD continues to trade sideways, unable to clear below/above the 1.2900 – 1.2950 range for the last two days. The Relative Strength Index (RSI) is near overbought territory yet almost flat. Therefore, traders are awaiting a fresh catalyst to drive the pair outside of the previously mentioned range.

A bullish continuation would happen once GBP/USD clears 1.2950, opening the door to challenge 1.3000. On the other hand, a drop beneath 1.2900 would clear the path to test the current week’s low of 1.2860, ahead of the 200-day Simple Moving Average (SMA) at 1.2791.

British Pound PRICE Today

The table below shows the percentage change of British Pound (GBP) against listed major currencies today. British Pound was the strongest against the Australian Dollar.

	USD	EUR	GBP	JPY	CAD	AUD	NZD	CHF
USD		0.28%	0.16%	-0.28%	0.20%	0.48%	0.37%	0.28%
EUR	-0.28%		-0.12%	-0.58%	-0.10%	0.20%	0.11%	-0.00%
GBP	-0.16%	0.12%		-0.46%	0.03%	0.32%	0.23%	0.15%
JPY	0.28%	0.58%	0.46%		0.46%	0.76%	0.66%	0.61%
CAD	-0.20%	0.10%	-0.03%	-0.46%		0.30%	0.19%	0.11%
AUD	-0.48%	-0.20%	-0.32%	-0.76%	-0.30%		-0.08%	-0.20%
NZD	-0.37%	-0.11%	-0.23%	-0.66%	-0.19%	0.08%		-0.05%
CHF	-0.28%	0.00%	-0.15%	-0.61%	-0.11%	0.20%	0.05%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the British Pound from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent GBP (base)/USD (quote).

13.03.2025 08:53

GBP/USD to test 1.3000 in the near term – UOB Group

Chance for Pound Sterling (GBP) to test 1.3000 vs US Dollar (USD); a clear break above this level seems unlikely. In the longer run, to continue to rise, GBP must break and remain above 1.3000, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

To continue to rise, GBP must break and remain above 1.3000

24-HOUR VIEW: "When GBP was at 1.2940 yesterday, we indicated that 'while conditions are overbought, GBP may have just enough momentum to test the key resistance at 1.2975 before the risk of a pullback increases.' We added, 'The next resistance at 1.3000 is unlikely to come under threat,' and 'support levels are at 1.2920 and 1.2900.' Our view was not wrong, as after dipping to 1.2914, GBP rose and reached a high of 1.2990. GBP closed at 1.2960, higher by 0.10%. Conditions remain overbought, but today, there is a chance for GBP to test 1.3000. A clear break above this level seems unlikely. On the downside, a breach of 1.2915 (minor support is at 1.2940) would indicate that the current upward pressure has eased."

1-3 WEEKS VIEW: "Two days ago, GBP rose to 1.2966. Yesterday (12 Mar, spot at 1.2940), we noted that 'there has been no further increase in momentum.' We highlighted the following: 'The uptrend appears to be ready to consolidate or pause, and a break below 1.2855 (‘strong support’ level) would indicate that the current upward momentum has eased. Looking ahead, should GBP break above 1.2975, there is another major resistance at 1.3000.' While GBP subsequently rose to 1.2990, upward momentum only increased slightly. To continue to rise, GBP must break and remain above 1.3000. The chance of GBP breaking clearly above 1.3000, although not high, will remain intact as long as 1.2880 (‘strong support’ level was at 1.2855 yesterday) is not breached. Looking ahead, the next level to watch above 1.3000 is at 1.3050."

13.03.2025 03:48

GBP/USD maintains position above 1.2950 near four-month highs

GBP/USD pair reached to four-month high of 1.2989 on March 13.
The US Dollar could further depreciate as recent US inflation data fueled expectations of the Fed delivering rate cuts soon.
RICS Housing Price Balance fell to 11% in February, marking its second consecutive decline.

GBP/USD attempts to extend its gains for the third successive day, trading around 1.2960 during the Asian session on Thursday. The GBP/USD pair rises as the US Dollar (USD) faces headwinds amid ongoing tariff uncertainty from US President Donald Trump and growing concerns over a potential US recession.

The Greenback may further lose ground as the US inflation cooled more than anticipated in February, raising speculation that the Federal Reserve (Fed) might cut interest rates sooner than expected. Market participants are now awaiting Thursday’s US Producer Price Index (PPI) data and weekly jobless claims for further economic cues.

US monthly headline inflation slowed to 0.2% in February from 0.5% in January, while core inflation eased to 0.2%, below the forecasted 0.3%. On an annual basis, headline inflation declined to 2.8% from 3.0%, while core inflation slipped to 3.1% from 3.3%.

In the United Kingdom (UK), the latest Residential Market Survey by RICS showed that the Housing Price Balance dropped to 11% in February, marking its second consecutive decline. This figure fell short of market expectations of 20% and was lower than January’s 21% reading.

UK Prime Minister Keir Starmer expressed optimism that Britain could avoid US tariffs on steel and aluminum, emphasizing a "pragmatic approach" in negotiations while keeping all options open. Unlike the European Union (EU), which has signaled immediate retaliation against Trump’s tariffs, the UK reaffirmed its commitment to trade talks with the United States (US).

Meanwhile, the UK’s 10-year gilt yield surged to 4.68%, its highest level in two months, as expectations grew that the Bank of England (BoE) will maintain elevated interest rates for a prolonged period. Traders now anticipate just a 52 basis point (bps) rate cut in 2025, scaling back earlier forecasts for more aggressive easing. Investors are now looking ahead to Friday’s UK monthly GDP data for January, which could provide further insights into the country’s economic outlook.

Pound Sterling FAQs

What is the Pound Sterling?

The Pound Sterling (GBP) is the oldest currency in the world (886 AD) and the official currency of the United Kingdom. It is the fourth most traded unit for foreign exchange (FX) in the world, accounting for 12% of all transactions, averaging $630 billion a day, according to 2022 data. Its key trading pairs are GBP/USD, also known as ‘Cable’, which accounts for 11% of FX, GBP/JPY, or the ‘Dragon’ as it is known by traders (3%), and EUR/GBP (2%). The Pound Sterling is issued by the Bank of England (BoE).

How do the decisions of the Bank of England impact on the Pound Sterling?

The single most important factor influencing the value of the Pound Sterling is monetary policy decided by the Bank of England. The BoE bases its decisions on whether it has achieved its primary goal of “price stability” – a steady inflation rate of around 2%. Its primary tool for achieving this is the adjustment of interest rates. When inflation is too high, the BoE will try to rein it in by raising interest rates, making it more expensive for people and businesses to access credit. This is generally positive for GBP, as higher interest rates make the UK a more attractive place for global investors to park their money. When inflation falls too low it is a sign economic growth is slowing. In this scenario, the BoE will consider lowering interest rates to cheapen credit so businesses will borrow more to invest in growth-generating projects.

How does economic data influence the value of the Pound?

Data releases gauge the health of the economy and can impact the value of the Pound Sterling. Indicators such as GDP, Manufacturing and Services PMIs, and employment can all influence the direction of the GBP. A strong economy is good for Sterling. Not only does it attract more foreign investment but it may encourage the BoE to put up interest rates, which will directly strengthen GBP. Otherwise, if economic data is weak, the Pound Sterling is likely to fall.

How does the Trade Balance impact the Pound?

Another significant data release for the Pound Sterling is the Trade Balance. This indicator measures the difference between what a country earns from its exports and what it spends on imports over a given period. If a country produces highly sought-after exports, its currency will benefit purely from the extra demand created from foreign buyers seeking to purchase these goods. Therefore, a positive net Trade Balance strengthens a currency and vice versa for a negative balance.

12.03.2025 23:35

GBP/USD holds steady near fresh highs as markets take a breather

GBP/USD middled on Wednesday, stuck just south of 1.3000.
UK data remains underwhelming this week as US data takes center stage.
US CPI inflation eased in February, helping to cool inflation fears.

GBP/USD cycled near recent highs on Wednesday, building a base near the key 1.3000 handle as markets take a moment after US Consumer Price Index (CPI) inflation chilled even more than expected in February. Markets now await Thursday’s US Producer Price Index (PPI), with key consumer sentiment and consumer inflation expectations due on Friday.

The US imposed a global 25% tariff on all steel and aluminum imported into the US on Wednesday, kicking off the next critical stage of US President Donald Trump’s desire to get into a trade war with all of the US’s allies at once. A recent spat between the US and Canada came to a fizzling close this week after Donald Trump threatened to double metals tariffs on Canada just days before the US’s steel tariffs were slated to come online. After some back-and-forth posturing, both countries settled with the US imposing its “normal” 25% across-the-board tariffs on steel and aluminum, and Canada set to impose its own tariffs on a targeted amount of goods later this week.

In February, US Consumer Price Index (CPI) inflation decreased more sharply than expected, with headline CPI falling to 0.2% month-over-month and 2.8% year-over-year, dipping slightly quicker than market predictions. Although this reading is still above the Federal Reserve’s (Fed) 2% target, it has instilled some optimism that the Fed can adjust policy rates moving forward. Based on the CME’s FedWatch Tool, rate markets now suggest more than even chances of a Fed rate cut occurring in June, up from the previous expectation of July.

Nearly four years have passed since US headline inflation reached “transitory” levels, and aside from a brief slowdown in Q3 2024, key inflation metrics have largely remained consistent since June 2023, when the post-Covid inflation rate first eased to 3% on an annual basis.

Observers of commodities will note that despite the cooler CPI readings in February, there are underlying indicators that may pose challenges for policymakers soon: while gasoline and fuel oil prices generally dropped during this period—falling 3.1% and 5.1% respectively—natural gas prices surged by 6% overall. Additionally, inflation estimates for shelter prices rose by another 4.2% year-over-year, while a small decrease of 0.3% in new vehicle prices masked a rise in food price inflation, which increased by 2.6% compared to the same time last year.

GBP/USD price forecast

The GBP/USD pair is experiencing its second consecutive week of gains, approaching new 18-week highs close to 1.2950. The significant 1.3000 resistance level may limit any additional upward movement, as this key level was previously a notable consolidation point in October and November of 2024.

Currently, demand is strong among buyers, but technical indicators have remained in overbought territory since January, suggesting a potential reversal could happen soon.

GBP/USD daily chart

Pound Sterling FAQs

What is the Pound Sterling?

The Pound Sterling (GBP) is the oldest currency in the world (886 AD) and the official currency of the United Kingdom. It is the fourth most traded unit for foreign exchange (FX) in the world, accounting for 12% of all transactions, averaging $630 billion a day, according to 2022 data. Its key trading pairs are GBP/USD, also known as ‘Cable’, which accounts for 11% of FX, GBP/JPY, or the ‘Dragon’ as it is known by traders (3%), and EUR/GBP (2%). The Pound Sterling is issued by the Bank of England (BoE).

How do the decisions of the Bank of England impact on the Pound Sterling?

The single most important factor influencing the value of the Pound Sterling is monetary policy decided by the Bank of England. The BoE bases its decisions on whether it has achieved its primary goal of “price stability” – a steady inflation rate of around 2%. Its primary tool for achieving this is the adjustment of interest rates. When inflation is too high, the BoE will try to rein it in by raising interest rates, making it more expensive for people and businesses to access credit. This is generally positive for GBP, as higher interest rates make the UK a more attractive place for global investors to park their money. When inflation falls too low it is a sign economic growth is slowing. In this scenario, the BoE will consider lowering interest rates to cheapen credit so businesses will borrow more to invest in growth-generating projects.

How does economic data influence the value of the Pound?

Data releases gauge the health of the economy and can impact the value of the Pound Sterling. Indicators such as GDP, Manufacturing and Services PMIs, and employment can all influence the direction of the GBP. A strong economy is good for Sterling. Not only does it attract more foreign investment but it may encourage the BoE to put up interest rates, which will directly strengthen GBP. Otherwise, if economic data is weak, the Pound Sterling is likely to fall.

How does the Trade Balance impact the Pound?

Another significant data release for the Pound Sterling is the Trade Balance. This indicator measures the difference between what a country earns from its exports and what it spends on imports over a given period. If a country produces highly sought-after exports, its currency will benefit purely from the extra demand created from foreign buyers seeking to purchase these goods. Therefore, a positive net Trade Balance strengthens a currency and vice versa for a negative balance.

12.03.2025 15:20

GBP/USD slides despite cooling US inflation, eyes on US PPI

US inflation eases to 3.1% YoY (core), boosting Fed rate-cut expectations.
25% tariffs remain a risk factor; further UK rate cuts could cap Sterling's gains.
Traders look toward US PPI on Thursday and UK GDP release for direction.

The Pound Sterling depreciated against the US Dollar on Wednesday as US inflation data revealed the disinflation process continued. At the time of writing, the GBP/USD trades at 1.2925, down 0.13%.

Sterling dips to 1.2925 amid cautious market reaction to US CPI report

In February, the US Consumer Price Index (CPI) was below the estimated 0.3% and rose by 0.2% MoM. On a yearly basis, CPI dipped from 3% to 2.8%. Excluding volatile items, the so-called Core CPI expanded by 0.2% MoM, down from 0.4% in January, beneath forecast, and in the twelve months to February, slid from 3.3% to 3.1%.

The GBP/USD spiked on the data release but retreated to 1.2920 as traders digested the news.

Although the data was positive, fears of an inflation reacceleration loom due to tariffs imposed on goods imported to the US. Today, 25% tariffs on aluminum and steel are in effect, with no exceptions.

Money market futures traders had been priced in 74 basis points of easing by the Federal Reserve (Fed) toward the end of the year. Hence, further GBP/USD upside is seen unless the Bank of England (BoE) cuts rates more aggressively than the Fed or next month’s CPI data comes hotter than today’s, which would put downward pressure on the pair.

The US economic docket will feature the Producer Price Index (PPI) for the same period as today’s CPI and Initial Jobless Claims data. Traders brace for Gross Domestic Product (GDP) figures in the UK on Friday.

GBP/USD Price Forecast: Technical outlook

GBP/USD is set to continue its uptrend despite today’s dip on US inflation data. The Relative Strength Index (RSI) shows that buyers are taking a respite, as the RSI is overbought. If the pair clears 1.2950, the next resistance would be 1.3000. Once surpassed, the next stop would be November’s 6 high at 1.3047. However, if GBP/USD turns downward and clears 1.2900, a test of the 200-day Simple Moving Average (SMA) at 1.2790 is on the cards.

British Pound PRICE Today

The table below shows the percentage change of British Pound (GBP) against listed major currencies today. British Pound was the strongest against the Japanese Yen.

	USD	EUR	GBP	JPY	CAD	AUD	NZD	CHF
USD		0.05%	0.03%	0.37%	-0.23%	0.04%	-0.00%	0.00%
EUR	-0.05%		-0.03%	0.32%	-0.24%	-0.02%	-0.06%	-0.04%
GBP	-0.03%	0.03%		0.35%	-0.25%	0.00%	-0.03%	-0.02%
JPY	-0.37%	-0.32%	-0.35%		-0.59%	-0.32%	-0.37%	-0.34%
CAD	0.23%	0.24%	0.25%	0.59%		0.27%	0.22%	0.25%
AUD	-0.04%	0.02%	-0.01%	0.32%	-0.27%		-0.04%	0.00%
NZD	0.00%	0.06%	0.03%	0.37%	-0.22%	0.04%		0.02%
CHF	-0.01%	0.04%	0.02%	0.34%	-0.25%	-0.01%	-0.02%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the British Pound from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent GBP (base)/USD (quote).

12.03.2025 09:35

GBP/USD may have just enough momentum to test 1.2975 – UOB Group

While overbought, Pound Sterling (GBP) may have just enough momentum to test 1.2975 vs US Dollar (USD) before the risk of a pullback increases. In the longer run, uptrend in GBP appears to be ready to consolidate or pause; a break below 1.2855 will indicate that upward momentum has eased, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

Uptrend in GBP appears to be ready to consolidate or pause

24-HOUR VIEW: "Yesterday, we held the view that GBP 'is likely to trade in a range between 1.2845 and 1.2930.' Our view was incorrect, as GBP soared, reaching a high of 1.2966. While conditions are overbought, GBP may have just enough momentum to test the key resistance at 1.2975 before the risk of a pullback increases. The next resistance at 1.3000 is unlikely to come under threat. Support levels are at 1.2920 and 1.2900."

1-3 WEEKS VIEW: "We revised our outlook for GBP to positive early last week. After tracking the rise for more than a week, we highlighted yesterday (11 Mar, spot at 1.2875) that “upward momentum is slowing, and a breach of 1.2830 (‘strong support’ level) would mean that 1.2975 is out of reach this time around.” Although GBP subsequently rose to 1.2966, there has been no further increase in momentum. Overall, the uptrend appears to be ready to consolidate or pause, and a break below 1.2855 (‘strong support’ level was at 1.2830 yesterday) would indicate that the current upward momentum has eased. Looking ahead, should GBP break above 1.2975, there is another major resistance at 1.3000."

12.03.2025 03:02

GBP/USD trades with negative bias below mid-1.2900s, downside seems limited ahead of US CPI

GBP/USD retreats from a multi-month top amid some repositioning ahead of the US CPI.
Bets that the Fed will cut rates further amid recession fears should cap any USD recovery.
Expectations for a slow BoE rate-cutting cycle could underpin the GBP and support the pair.

The GBP/USD pair edges lower during the Asian session on Wednesday and erodes a part of the previous day's strong move up to over a four-month peak, around the 1.2965 area. Spot prices currently trade around the 1.2935 region, though the downtick lacks bearish conviction as traders keenly await the release of the US consumer inflation figures before placing fresh directional bets.

The US Consumer Price Index (CPI) report will play a key role in influencing market expectations about the Federal Reserve's (Fed) rate-cut path, which, in turn, will drive the US Dollar (USD) demand and provide a fresh impetus to the GBP/USD pair. In the meantime, some repositioning trade ahead of the crucial data assists the buck to recover a part of the previous day's slide to its lowest level since mid-October and acts as a headwind for the currency pair.

Any meaningful USD appreciation, however, seems elusive in the wake of growing acceptance that the Federal Reserve (Fed) will cut interest rates several times this year amid worries about a tariff-driven slowdown in the US economic activity. Apart from this, expectations that the Bank of England (BoE) will cut rates more slowly than other central banks, including the Fed, might underpin the British Pound (GBP) and lend support to the GBP/USD pair.

Even from a technical perspective, last week's sustained breakout above the very important 200-day Simple Moving Average (SMA) was seen as a key trigger for bulls and suggests that the path of least resistance for the currency pair is to the upside. Hence, any further corrective slide might still be seen as a buying opportunity and is more likely to remain limited.

Pound Sterling FAQs

What is the Pound Sterling?

The Pound Sterling (GBP) is the oldest currency in the world (886 AD) and the official currency of the United Kingdom. It is the fourth most traded unit for foreign exchange (FX) in the world, accounting for 12% of all transactions, averaging $630 billion a day, according to 2022 data. Its key trading pairs are GBP/USD, also known as ‘Cable’, which accounts for 11% of FX, GBP/JPY, or the ‘Dragon’ as it is known by traders (3%), and EUR/GBP (2%). The Pound Sterling is issued by the Bank of England (BoE).

How do the decisions of the Bank of England impact on the Pound Sterling?

The single most important factor influencing the value of the Pound Sterling is monetary policy decided by the Bank of England. The BoE bases its decisions on whether it has achieved its primary goal of “price stability” – a steady inflation rate of around 2%. Its primary tool for achieving this is the adjustment of interest rates. When inflation is too high, the BoE will try to rein it in by raising interest rates, making it more expensive for people and businesses to access credit. This is generally positive for GBP, as higher interest rates make the UK a more attractive place for global investors to park their money. When inflation falls too low it is a sign economic growth is slowing. In this scenario, the BoE will consider lowering interest rates to cheapen credit so businesses will borrow more to invest in growth-generating projects.

How does economic data influence the value of the Pound?

Data releases gauge the health of the economy and can impact the value of the Pound Sterling. Indicators such as GDP, Manufacturing and Services PMIs, and employment can all influence the direction of the GBP. A strong economy is good for Sterling. Not only does it attract more foreign investment but it may encourage the BoE to put up interest rates, which will directly strengthen GBP. Otherwise, if economic data is weak, the Pound Sterling is likely to fall.

How does the Trade Balance impact the Pound?

Another significant data release for the Pound Sterling is the Trade Balance. This indicator measures the difference between what a country earns from its exports and what it spends on imports over a given period. If a country produces highly sought-after exports, its currency will benefit purely from the extra demand created from foreign buyers seeking to purchase these goods. Therefore, a positive net Trade Balance strengthens a currency and vice versa for a negative balance.

11.03.2025 23:04

GBP/USD shrugs off tariff fears as Pound continues to recover ground

GBP/USD rose 0.5% on Tuesday, retesting multi-month highs.
UK economic data remains tepid this week, US data and trade policies remain in focus.
Cable touches new 18-week high as recovery mode continues.

GBP/USD extended its recent bullish rally on Tuesday, shrugging off ongoing trade war concerns that are weighing down American market centers. Cable rose a little over one-half of one percent, clipping into the 1.2950 level for the first time in 18 weeks.

US data remains the focal point for GBP/USD traders. UK economic data remains extremely limited on the data docket this week, but key US data releases are lined up one after another throughout most of this week. The US JOLTS job openings data was a bit stronger than anticipated, offering some stability to shaken markets. Job postings rose to 7.74M in January, exceeding the forecast of 7.63M and up from December’s revised figure of 7.51M, adjusted down from 7.6M.

US Consumer Price Index (CPI) inflation metrics for February are front-and-center on Wednesday. Markets are overwhelmingly hoping for a lower print for February after an unexpected uptick in consumer-level inflation in January shattered hopes for a quick return to a rate cutting schedule from the Federal Reserve (Fed) in 2025. Headline CPI inflation is expected to tick down to 2.9% from 3.0% YoY.

US Producer Price Index (PPI) inflation is slated for Thursday. While markets are hoping for an easing inflation outlook in consumer inflation, business-level inflation is expected to remain stubbornly high with core PPI inflation forecast to hold steady at 3.6% YoY.

Friday will close out with University of Michigan Consumer Sentiment Index figures for March, as well as the UoM’s Consumer Inflation Expectations. The UoM sentiment index is forecast to tick down slightly to 63.4 from 64.7 as the US’s economic outlook deteriorates in the face of Donald Trump’s insistence on trying to spark a global trade war with everybody at the same time.

GBP/USD price forecast

GBP/USD is testing into its second straight week of gains as the pair tests into fresh 18-week highs near 1.2950. The 1.3000 major price handle could cap off any further bullish gains as the key handle last served as a significant consolidation level in October and November of 2024.

For now, momentum is squarely in the hands of bidders, but technical oscillators have been pinned in overbought territory since January, and a quick turnaround could be on the cards soon.

GBP/USD daily chart

Pound Sterling FAQs

What is the Pound Sterling?

The Pound Sterling (GBP) is the oldest currency in the world (886 AD) and the official currency of the United Kingdom. It is the fourth most traded unit for foreign exchange (FX) in the world, accounting for 12% of all transactions, averaging $630 billion a day, according to 2022 data. Its key trading pairs are GBP/USD, also known as ‘Cable’, which accounts for 11% of FX, GBP/JPY, or the ‘Dragon’ as it is known by traders (3%), and EUR/GBP (2%). The Pound Sterling is issued by the Bank of England (BoE).

How do the decisions of the Bank of England impact on the Pound Sterling?

The single most important factor influencing the value of the Pound Sterling is monetary policy decided by the Bank of England. The BoE bases its decisions on whether it has achieved its primary goal of “price stability” – a steady inflation rate of around 2%. Its primary tool for achieving this is the adjustment of interest rates. When inflation is too high, the BoE will try to rein it in by raising interest rates, making it more expensive for people and businesses to access credit. This is generally positive for GBP, as higher interest rates make the UK a more attractive place for global investors to park their money. When inflation falls too low it is a sign economic growth is slowing. In this scenario, the BoE will consider lowering interest rates to cheapen credit so businesses will borrow more to invest in growth-generating projects.

How does economic data influence the value of the Pound?

Data releases gauge the health of the economy and can impact the value of the Pound Sterling. Indicators such as GDP, Manufacturing and Services PMIs, and employment can all influence the direction of the GBP. A strong economy is good for Sterling. Not only does it attract more foreign investment but it may encourage the BoE to put up interest rates, which will directly strengthen GBP. Otherwise, if economic data is weak, the Pound Sterling is likely to fall.

How does the Trade Balance impact the Pound?

Another significant data release for the Pound Sterling is the Trade Balance. This indicator measures the difference between what a country earns from its exports and what it spends on imports over a given period. If a country produces highly sought-after exports, its currency will benefit purely from the extra demand created from foreign buyers seeking to purchase these goods. Therefore, a positive net Trade Balance strengthens a currency and vice versa for a negative balance.

11.03.2025 15:32

GBP/USD climbs above 1.2920 as trade war fears weaken USD

Trump imposes an additional 25% duty on Canadian aluminum and steel, triggering retaliation.
JOLTS job openings beat forecasts, rising to 7.74 million in January.
Markets price in 82 bps of Fed rate cuts, increasing July easing expectations.
Traders eye US CPI data on Wednesday and UK GDP figures for further direction.

The Pound Sterling (GBP) extended its gains versus the US Dollar (USD) on Tuesday as the latter continued to plunge due to controversial trade policies by United States (US) President Donald Trump. He announced an additional 25% tariff on aluminum and steel imports from Canada, as the latter applied duties on electricity imported to New York, Michigan and Minnesota. The GBP/USD pair is trading at 1.2945 up 0.53%.

Sterling up 0.38% as US tariffs on Canada fuel risk aversion

The market mood remains dismal due to the ongoing trade war, favoring most G10 currencies except the Greenback. The US Job Openings and Labor Turnover Survey (JOLTS) report revealed that vacancies increased in January from 7.508 million to 7.740 million, exceeding forecasts of 7.63 million.

GBP/USD erased Monday’s losses and is climbing past 1.2900 as market participants continue to price in additional easing by the Federal Reserve (Fed). Data from the Chicago Board of Trade (CBOT) showed that investors estimate the US central bank to ease policy 82 basis points.

Despite the recent uptrend in GBP/USD, analysts suggest it will likely stall in the medium term. Nick Rees, Head of Macro Research at Monex Europe, said that while US recession fears were “overdone,” currency markets “could be wrong for an extended period.”

Meanwhile, traders will be eyeing February’s US inflation report on Wednesday. Most analysts foresee continuing the disinflation process, which could increase the chances for a Fed rate cut in July. Across the pond, investors are eyeing the release of January's Gross Domestic Product (GDP) figures.

GBP/USD Price Forecast: Technical outlook

GBP/USD remains upward-biased after carving a successive series of higher highs and higher lows. Nevertheless, the trend has lost some steam as the Relative Strength Index (RSI) reaches overbought conditions, which could pave the way for a correction. Despite this, if the pair clears 1.2950, a move to 1.3000 is likely. Otherwise, a drop below 1.2900, could exacerbate a retracement towards the 200-day Simple Moving Average (SMA) at 1.2789.

British Pound PRICE Today

The table below shows the percentage change of British Pound (GBP) against listed major currencies today. British Pound was the strongest against the Canadian Dollar.

	USD	EUR	GBP	JPY	CAD	AUD	NZD	CHF
USD		-0.74%	-0.50%	0.25%	0.24%	-0.06%	-0.11%	-0.10%
EUR	0.74%		0.25%	1.02%	0.99%	0.69%	0.64%	0.65%
GBP	0.50%	-0.25%		0.61%	0.74%	0.44%	0.39%	0.41%
JPY	-0.25%	-1.02%	-0.61%		-0.01%	-0.31%	-0.37%	-0.34%
CAD	-0.24%	-0.99%	-0.74%	0.01%		-0.29%	-0.34%	-0.33%
AUD	0.06%	-0.69%	-0.44%	0.31%	0.29%		-0.04%	-0.02%
NZD	0.11%	-0.64%	-0.39%	0.37%	0.34%	0.04%		0.02%
CHF	0.10%	-0.65%	-0.41%	0.34%	0.33%	0.02%	-0.02%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the British Pound from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent GBP (base)/USD (quote).

11.03.2025 08:52

GBP/USD: Upward momentum is slowing – UOB Group

Pound Sterling (GBP) is likely to trade in a range between 1.2845 and 1.2930. In the longer run, upward momentum is slowing; a breach of 1.2830 would mean that the 1.2975 target is out of reach this time around, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

Below 1.2830, the 1.2975 target is out of reach

24-HOUR VIEW: "Last Friday, GBP rose to a high of 1.2945. Yesterday, Monday, when GBP was at 1.2930, we highlighted the following: 'Although there has been no clear increase in upward momentum, there is a chance for GBP to test the major resistance at 1.2975 before the risk of a pullback increases. A sustained break above 1.2975 appears unlikely. On the downside, should GBP break below 1.2870 (minor support at 1.2900), it would suggest that it has moved into a range trading phase.' However, GBP rose less than expected, pulling from 1.2946 to 1.2862. Today, we expect GBP to trade in a range between 1.2845 and 1.2930."

1-3 WEEKS VIEW: "In our most recent narrative from last Thursday (07 Mar, spot at 1.2890), we highlighted that “the outlook for GBP remains positive” and 'the next technical target is at 1.2975.' Yesterday, Monday, GBP rose slightly above last week’s high of 1.2943 and then pulled back to close lower by 0.33% at 1.2879. Upward momentum is slowing, and a breach of 1.2830 (no change in ‘strong support’ level from yesterday) would mean that 1.2975 is out of reach this time around."

11.03.2025 02:43

GBP/USD maintains position near 1.2900 as concerns over US economic growth persist

GBP/USD rises as the US Dollar weakens amid fears that tariff policy uncertainty could drive the US economy into recession.
Concerns over the US economy deepened after Trump described it as being in a "transition period," signaling a potential slowdown.
The Pound Sterling appreciated after BoE’s Catherine Mann rejected the need for a “gradual and cautious” approach to monetary easing.

The GBP/USD pair recovers recent losses from the previous session, trading around 1.2890 during Asian hours on Tuesday. The pair edges higher as the US Dollar (USD) struggles amid concerns that tariff policy uncertainty could push the US economy into recession.

Weaker-than-expected US job data for February has strengthened expectations of multiple Federal Reserve (Fed) rate cuts this year. LSEG data shows that traders now anticipate a total of 75 basis points (bps) in cuts, with a June rate reduction fully priced in.

US economic concerns grew after President Donald Trump characterized the economy as being in a "transition period," hinting at a potential slowdown. Investors took his remarks as an early signal of possible economic turbulence in the near future.

However, Fed Chair Jerome Powell reassured markets that the central bank sees no immediate need to adjust monetary policy despite rising uncertainties. San Francisco Fed President Mary Daly echoed this sentiment on Sunday, noting that increasing business uncertainty could dampen demand but does not justify an interest rate change.

With the Federal Reserve entering its blackout period ahead of the March 19 meeting, central bank commentary will be limited this week. Investors are now looking ahead to February’s Consumer Price Index (CPI) release on Wednesday for further insights into inflation trends.

The GBP/USD pair strengthened as the Pound Sterling (GBP) found support after Bank of England (BoE) Monetary Policy Committee (MPC) member Catherine Mann dismissed the need for a “gradual and cautious” approach to monetary easing in response to rising global economic volatility during her speech last week.

However, before Mann’s remarks, four BoE officials, including Governor Andrew Bailey, had advocated for a measured approach to reducing monetary policy restrictiveness, citing concerns that inflation persistence is unlikely to subside “on its own accord.”

GDP FAQs

What is GDP and how is it recorded?

A country’s Gross Domestic Product (GDP) measures the rate of growth of its economy over a given period of time, usually a quarter. The most reliable figures are those that compare GDP to the previous quarter e.g Q2 of 2023 vs Q1 of 2023, or to the same period in the previous year, e.g Q2 of 2023 vs Q2 of 2022. Annualized quarterly GDP figures extrapolate the growth rate of the quarter as if it were constant for the rest of the year. These can be misleading, however, if temporary shocks impact growth in one quarter but are unlikely to last all year – such as happened in the first quarter of 2020 at the outbreak of the covid pandemic, when growth plummeted.

How does GDP influence currencies?

A higher GDP result is generally positive for a nation’s currency as it reflects a growing economy, which is more likely to produce goods and services that can be exported, as well as attracting higher foreign investment. By the same token, when GDP falls it is usually negative for the currency. When an economy grows people tend to spend more, which leads to inflation. The country’s central bank then has to put up interest rates to combat the inflation with the side effect of attracting more capital inflows from global investors, thus helping the local currency appreciate.

How does higher GDP impact the price of Gold?

When an economy grows and GDP is rising, people tend to spend more which leads to inflation. The country’s central bank then has to put up interest rates to combat the inflation. Higher interest rates are negative for Gold because they increase the opportunity-cost of holding Gold versus placing the money in a cash deposit account. Therefore, a higher GDP growth rate is usually a bearish factor for Gold price.

10.03.2025 15:22

GBP/USD holds above 1.2900 as traders brace of US CPI data

Trump warns of economic turbulence due to ongoing "period of transition."
US recession fears rise, fueling bets for 80 bps of Fed rate cuts in 2025.
DXY weakens to 103.76 as investors shift to safe-haven currencies.
Traders eye US CPI on Wednesday and UK GDP figures on Friday for direction.

The Pound Sterling consolidates within familiar levels against the US Dollar amid a scarce economic docket on Monday. Key US inflation data and the UK’s Gross Domestic Product (GDP) figures are due later in the week. The GBP/USD trades at 1.2915, up 0.04%.

Sterling steady amid US inflation concerns and UK GDP anticipation

Sentiment remains dismal due to concerns about US President Donald Trump's trade policies. On Friday he said that his policies could lead to economic turbulence in the short term due to an undergoing “period of transition” because of what he’s doing is very “big.”

In the meantime, fears that the US economy could be tipped into a recession or, worse, a stagflationary scenario keep investors leaning into safe-have currencies like the Swiss Franc and the Japanese Yen. Consequently, expectations that the Federal Reserve (Fed) would ease policy had risen, with market participants estimating 80 basis points of easing towards year-end, revealed data from the Chicago Board of Trade (CBOT).

Meanwhile, the Greenback extended its losses, with the US Dollar Index (DXY), which tracks the performance of the buck against a basket of six other currencies, down 0.14% at 103.76.

The New York Fed Consumer Sentiment Survey revealed that inflation expectations for one year in February increased from 3% to 3.1%. For the three—and five-year periods, they remained unchanged at 3%. Americans expect price increases in gas, rent, and food.

This week, the US economic docket will feature the JOLTs Job Opening on Tuesday, followed by the release of the Consumer Price Index (CPI) on Wednesday. Across the pond, GBP/USD traders will eye GDP figures on Friday.

GBP/USD Price Forecast: Technical outlook

The GBP/USD trades sideways for the second straight day, unable to crack the 1.2950 figure decisively. The price action suggests that the pair is poised to edge higher. Nevertheless, the Relative Strength Index (RSI) indicates that the pair is overbought, and an appreciation of the US Dollar could drive the GBP/USD to challenge the 200-day Simple Moving Average (SMA) at 1.2788.

Conversely, if GBP/USD climbs past 1.2950, expect a test of the 1.3000 mark.

British Pound PRICE Today

The table below shows the percentage change of British Pound (GBP) against listed major currencies today. British Pound was the strongest against the Canadian Dollar.

	USD	EUR	GBP	JPY	CAD	AUD	NZD	CHF
USD		0.00%	0.05%	-0.68%	0.35%	-0.07%	-0.20%	-0.06%
EUR	0.00%		0.01%	-0.68%	0.36%	0.02%	-0.22%	-0.18%
GBP	-0.05%	-0.01%		-0.74%	0.32%	0.01%	-0.29%	-0.12%
JPY	0.68%	0.68%	0.74%		1.02%	0.67%	0.39%	0.69%
CAD	-0.35%	-0.36%	-0.32%	-1.02%		-0.45%	-0.54%	-0.44%
AUD	0.07%	-0.02%	-0.01%	-0.67%	0.45%		-0.24%	-0.17%
NZD	0.20%	0.22%	0.29%	-0.39%	0.54%	0.24%		0.21%
CHF	0.06%	0.18%	0.12%	-0.69%	0.44%	0.17%	-0.21%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the British Pound from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent GBP (base)/USD (quote).

10.03.2025 00:54

GBP/USD stands firm near multi-month peak, just below mid-1.2900s on weaker USD

GBP/USD attracts some follow-through buying on Monday amid a bearish US Dollar.
Bets that the Fed will cut rates multiple times in 2025 continue to weigh on the buck.
Expectations for a slow BoE rate-cutting cycle underpin the GBP and support the pair.

The GBP/USD pair kicks off the new week on a positive move and trades around the 1.2940-1.2945 region during the Asian session, or a four-month high touched on Friday. Moreover, the bearish sentiment surrounding the US Dollar (USD) supports prospects for an extension of last week's breakout momentum above the very important 200-day Simple Moving Average (SMA).

In fact, the USD Index (DXY), which tracks the Greenback against a basket of currencies, hangs near its lowest level since early November touched in reaction to weaker US monthly employment details on Friday. The headline Nonfarm Payrolls (NFP) print showed that the US economy added 151K jobs in February, less than consensus estimates. Adding to this, the previous month's reading was revised down to 125K and the Unemployment Rate unexpectedly edged higher to 4.1% from 4.0% in January.

This comes on top of worries that US President Donald Trump's policies will hit economic activity in the US and suggests that the Federal Reserve (Fed) remains on track to cut interest rates multiple times this year. The markets are currently pricing in about three rate cuts of 25 bps each this year, which continues to weigh on the buck and supports the GBP/USD pair. The USD bulls failed to gain any respite from Fed Chair Jerome Powell's comments that the US central bank is in no rush to cut rates.

The British Pound (GBP), on the other hand, is underpinned by expectations that the Bank of England (BoE) will cut rates more slowly than other central banks, including the Fed. This turns out to be another factor that contributes to the bid tone around the GBP/USD pair and validates the positive outlook. In the absence of any relevant market-moving economic releases, either from the UK or the US, the USD will continue to influence spot prices and allow traders to grab short-term opportunities.

Pound Sterling FAQs

What is the Pound Sterling?

The Pound Sterling (GBP) is the oldest currency in the world (886 AD) and the official currency of the United Kingdom. It is the fourth most traded unit for foreign exchange (FX) in the world, accounting for 12% of all transactions, averaging $630 billion a day, according to 2022 data. Its key trading pairs are GBP/USD, also known as ‘Cable’, which accounts for 11% of FX, GBP/JPY, or the ‘Dragon’ as it is known by traders (3%), and EUR/GBP (2%). The Pound Sterling is issued by the Bank of England (BoE).

How do the decisions of the Bank of England impact on the Pound Sterling?

The single most important factor influencing the value of the Pound Sterling is monetary policy decided by the Bank of England. The BoE bases its decisions on whether it has achieved its primary goal of “price stability” – a steady inflation rate of around 2%. Its primary tool for achieving this is the adjustment of interest rates. When inflation is too high, the BoE will try to rein it in by raising interest rates, making it more expensive for people and businesses to access credit. This is generally positive for GBP, as higher interest rates make the UK a more attractive place for global investors to park their money. When inflation falls too low it is a sign economic growth is slowing. In this scenario, the BoE will consider lowering interest rates to cheapen credit so businesses will borrow more to invest in growth-generating projects.

How does economic data influence the value of the Pound?

Data releases gauge the health of the economy and can impact the value of the Pound Sterling. Indicators such as GDP, Manufacturing and Services PMIs, and employment can all influence the direction of the GBP. A strong economy is good for Sterling. Not only does it attract more foreign investment but it may encourage the BoE to put up interest rates, which will directly strengthen GBP. Otherwise, if economic data is weak, the Pound Sterling is likely to fall.

How does the Trade Balance impact the Pound?

Another significant data release for the Pound Sterling is the Trade Balance. This indicator measures the difference between what a country earns from its exports and what it spends on imports over a given period. If a country produces highly sought-after exports, its currency will benefit purely from the extra demand created from foreign buyers seeking to purchase these goods. Therefore, a positive net Trade Balance strengthens a currency and vice versa for a negative balance.

10.03.2025 00:54

GBP/USD stands firm near multi-month peak, just below mid-1.2900s on weaker USD

GBP/USD attracts some follow-through buying on Monday amid a bearish US Dollar.
Bets that the Fed will cut rates multiple times in 2025 continue to weigh on the buck.
Expectations for a slow BoE rate-cutting cycle underpin the GBP and support the pair.

The GBP/USD pair kicks off the new week on a positive move and trades around the 1.2940-1.2945 region during the Asian session, or a four-month high touched on Friday. Moreover, the bearish sentiment surrounding the US Dollar (USD) supports prospects for an extension of last week's breakout momentum above the very important 200-day Simple Moving Average (SMA).

In fact, the USD Index (DXY), which tracks the Greenback against a basket of currencies, hangs near its lowest level since early November touched in reaction to weaker US monthly employment details on Friday. The headline Nonfarm Payrolls (NFP) print showed that the US economy added 151K jobs in February, less than consensus estimates. Adding to this, the previous month's reading was revised down to 125K and the Unemployment Rate unexpectedly edged higher to 4.1% from 4.0% in January.

This comes on top of worries that US President Donald Trump's policies will hit economic activity in the US and suggests that the Federal Reserve (Fed) remains on track to cut interest rates multiple times this year. The markets are currently pricing in about three rate cuts of 25 bps each this year, which continues to weigh on the buck and supports the GBP/USD pair. The USD bulls failed to gain any respite from Fed Chair Jerome Powell's comments that the US central bank is in no rush to cut rates.

The British Pound (GBP), on the other hand, is underpinned by expectations that the Bank of England (BoE) will cut rates more slowly than other central banks, including the Fed. This turns out to be another factor that contributes to the bid tone around the GBP/USD pair and validates the positive outlook. In the absence of any relevant market-moving economic releases, either from the UK or the US, the USD will continue to influence spot prices and allow traders to grab short-term opportunities.

Pound Sterling FAQs

What is the Pound Sterling?

The Pound Sterling (GBP) is the oldest currency in the world (886 AD) and the official currency of the United Kingdom. It is the fourth most traded unit for foreign exchange (FX) in the world, accounting for 12% of all transactions, averaging $630 billion a day, according to 2022 data. Its key trading pairs are GBP/USD, also known as ‘Cable’, which accounts for 11% of FX, GBP/JPY, or the ‘Dragon’ as it is known by traders (3%), and EUR/GBP (2%). The Pound Sterling is issued by the Bank of England (BoE).

How do the decisions of the Bank of England impact on the Pound Sterling?

The single most important factor influencing the value of the Pound Sterling is monetary policy decided by the Bank of England. The BoE bases its decisions on whether it has achieved its primary goal of “price stability” – a steady inflation rate of around 2%. Its primary tool for achieving this is the adjustment of interest rates. When inflation is too high, the BoE will try to rein it in by raising interest rates, making it more expensive for people and businesses to access credit. This is generally positive for GBP, as higher interest rates make the UK a more attractive place for global investors to park their money. When inflation falls too low it is a sign economic growth is slowing. In this scenario, the BoE will consider lowering interest rates to cheapen credit so businesses will borrow more to invest in growth-generating projects.

How does economic data influence the value of the Pound?

Data releases gauge the health of the economy and can impact the value of the Pound Sterling. Indicators such as GDP, Manufacturing and Services PMIs, and employment can all influence the direction of the GBP. A strong economy is good for Sterling. Not only does it attract more foreign investment but it may encourage the BoE to put up interest rates, which will directly strengthen GBP. Otherwise, if economic data is weak, the Pound Sterling is likely to fall.

How does the Trade Balance impact the Pound?

Another significant data release for the Pound Sterling is the Trade Balance. This indicator measures the difference between what a country earns from its exports and what it spends on imports over a given period. If a country produces highly sought-after exports, its currency will benefit purely from the extra demand created from foreign buyers seeking to purchase these goods. Therefore, a positive net Trade Balance strengthens a currency and vice versa for a negative balance.

07.03.2025 15:22

GBP/USD climbs above 1.2900 following US NFP data

US Nonfarm Payrolls rise to 151K, but unemployment ticks up to 4.1%.
Markets price in three Fed rate cuts in 2025 amid economic uncertainty.
UK traders eye GDP data next week, while US focuses on inflation and UoM sentiment.

The Pound Sterling registers solid gains versus the US Dollar in early trading on Friday during the North American session, even though the latest jobs report in the United States (US) depicts the economy remains solid. Nevertheless, fears of a recession in the US keep the Greenback on the backfoot, and the GBP/USD trades at 1.2920, up over 0.30%.

Sterling gains 0.30% despite NFP beat, as rising US unemployment weighs on sentiment

February’s Nonfarm Payroll figures were 151K, up from January’s 125K but missing estimates of 160 K. Although the print is solid, the GBP/USD rose as the Unemployment Rate ticked up to 4.1%, above forecasts of 4%.

The data doesn’t suggest that the Federal Reserve (Fed) needs to cut rates at the upcoming meeting. Nevertheless, it didn’t improve the economic outlook due to US President Donald Trump's controversial policies, which keep businesses uncertain of planning ahead.

March’s Nonfarm Payrolls data is expected to be worse due to Elon Musk’s Department of Government Efficiency (DOGE) laying off probationary federal government workers. Investors seem to be pricing a jobs market slowdown, which could exert pressure on the Fed to lower borrowing costs to fulfill its dual mandate.

A Reuters poll showed that 70 out of 74 economists says the risk of recession has risen in the US, Canada, and Mexico. Money market players continued to price in three 25 basis points of rate cuts by the Fed, according to the December 2025 fed funds rate futures contract.

Across the pond, the Sterling has been supported by the weakness of the US Dollar. Traders are awaiting forecasts of the Office for Budget Responsibility (OBR) on March 26, at a time when Finance Minister Rachel Reeves is pressured to clarify how she would balance the books without breaking her own fiscal rules.

Ahead next week, the UK economic docket will feature Gross Domestic Product (GDP) figures. In the US, traders are eyeing inflation data, alongside Consumer Sentiment by the University of Michigan (UoM).

GBP/USD Price Forecast: Technical outlook

The GBP/USD is set to extend its gains once it clears the 1.2900 figure. Momentum favors further upside, although the Relative Strength Index (RSI) turned overbought. Nonetheless, traders must be aware that in strong trends, such as a bullish move, the RSI would reach overbought levels at 80. Hence, further upside is seen.

The next key resistance would be 1.2950 and the 1.3000 mark. On the downside, if GBP/USD falls beneath 1.2900, a test of the December 2024 cycle high at 1.2811 is on the cards.

British Pound PRICE Today

The table below shows the percentage change of British Pound (GBP) against listed major currencies today. British Pound was the strongest against the Australian Dollar.

	USD	EUR	GBP	JPY	CAD	AUD	NZD	CHF
USD		-0.65%	-0.38%	-0.24%	0.26%	0.29%	0.26%	-0.51%
EUR	0.65%		0.27%	0.43%	0.92%	0.95%	0.92%	0.14%
GBP	0.38%	-0.27%		0.17%	0.64%	0.67%	0.65%	-0.10%
JPY	0.24%	-0.43%	-0.17%		0.50%	0.54%	0.50%	-0.24%
CAD	-0.26%	-0.92%	-0.64%	-0.50%		0.03%	0.00%	-0.74%
AUD	-0.29%	-0.95%	-0.67%	-0.54%	-0.03%		-0.03%	-0.77%
NZD	-0.26%	-0.92%	-0.65%	-0.50%	-0.00%	0.03%		-0.74%
CHF	0.51%	-0.14%	0.10%	0.24%	0.74%	0.77%	0.74%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the British Pound from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent GBP (base)/USD (quote).

07.03.2025 09:47

GBP/USD: Outlook for GBP remains positive – UOB Group

Strong momentum appears to be slowing; Pound Sterling (GBP) is likely to trade in a 1.2850/1.2925 range vs US Dollar (USD). In the longer run, outlook for GBP remains positive; the next technical target is at 1.2975, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

The next technical target for GBP/USD is at 1.2975

24-HOUR VIEW: "Following the strong rise in GBP two days ago, we indicated yesterday that 'although deeply overbought, GBP appears to have enough momentum to rise further.' We pointed out, 'The levels to monitor are 1.2930 and 1.2975.' However, GBP rose less than expected to 1.2924. It ended the day largely flat at 1.2882 (-0.09%). The strong upward momentum over the past few days appears to be slowing. Today, we expect GBP to trade in a 1.2850/1.2925 range."

1-3 WEEKS VIEW: "We stated yesterday (07 Mar, spot at 1.2890) that 'the outlook for GBP remains positive.' We highlighted that 'the next technical target is at 1.2975.' There is no change in our view. On the downside, a breach of 1.2780 (‘strong support’ level was at 1.2760 yesterday) would mean that GBP is not strengthening further."

07.03.2025 03:46

GBP/USD steadies around 1.2900 as traders adopt caution ahead of US Nonfarm Payrolls

GBP/USD remains steady due to market caution ahead of the US NFP data release on Friday.
The US Dollar weakens as US Treasury yields fall on rising sentiment of more aggressive Fed rate cuts this year.
BoE’s Mann reiterated that the larger rate cut was intended to better communicate the policy stance.

GBP/USD holds little gains after registering losses in the previous session, trading around 1.2880 during the Asian hours on Friday. The pair steadies as traders adopt caution ahead of the US Nonfarm Payrolls (NFP) report scheduled to be released later in the North American session.

The US Dollar Index (DXY), which measures the USD against six major currencies, extends its losing streak for the fifth successive day, driven by falling US Treasury yields as markets anticipate more aggressive Fed rate cuts this year amid US growth concerns. The DXY is trading around 104.00 with 2- and 10-year yields on US Treasury bonds standing at 3.94% and 4.24%, respectively, at the time of writing.

According to MUFG Bank analysts, expectations are increasing that the Federal Reserve (Fed) may prioritize addressing slowing economic growth over elevated inflation in response to US tariffs, which could weigh on the US Dollar. A recent decline in consumer confidence indicates growing household concerns over the inflationary impact of tariffs and economic risks stemming from rising policy uncertainty in the United States (US).

Meanwhile, traders remain focused on global trade developments, as Canada postpones its planned second round of retaliatory tariffs on US products until April 2. This decision follows US President Donald Trump’s exemption of Mexican and Canadian goods under the USMCA from his proposed 25% tariffs.

In the United Kingdom (UK), rate markets now project fewer than 50 basis points (bps) in rate cuts from the Bank of England (BoE) in 2025, marking a substantial reduction in expectations as central banks continue to struggle with persistent inflation.

BoE Monetary Policy Committee member Catherine Mann stated on Thursday that gradual interest rate adjustments no longer provide clear signals to volatile financial markets. Mann emphasized that larger moves are now necessary to “cut through” market noise for the benefit of the economy. Citing Bloomberg, she noted that the larger rate cut she supported in the latest meeting aimed to more effectively convey policy stance and influence economic conditions.

Pound Sterling FAQs

What is the Pound Sterling?

The Pound Sterling (GBP) is the oldest currency in the world (886 AD) and the official currency of the United Kingdom. It is the fourth most traded unit for foreign exchange (FX) in the world, accounting for 12% of all transactions, averaging $630 billion a day, according to 2022 data. Its key trading pairs are GBP/USD, also known as ‘Cable’, which accounts for 11% of FX, GBP/JPY, or the ‘Dragon’ as it is known by traders (3%), and EUR/GBP (2%). The Pound Sterling is issued by the Bank of England (BoE).

How do the decisions of the Bank of England impact on the Pound Sterling?

The single most important factor influencing the value of the Pound Sterling is monetary policy decided by the Bank of England. The BoE bases its decisions on whether it has achieved its primary goal of “price stability” – a steady inflation rate of around 2%. Its primary tool for achieving this is the adjustment of interest rates. When inflation is too high, the BoE will try to rein it in by raising interest rates, making it more expensive for people and businesses to access credit. This is generally positive for GBP, as higher interest rates make the UK a more attractive place for global investors to park their money. When inflation falls too low it is a sign economic growth is slowing. In this scenario, the BoE will consider lowering interest rates to cheapen credit so businesses will borrow more to invest in growth-generating projects.

How does economic data influence the value of the Pound?

Data releases gauge the health of the economy and can impact the value of the Pound Sterling. Indicators such as GDP, Manufacturing and Services PMIs, and employment can all influence the direction of the GBP. A strong economy is good for Sterling. Not only does it attract more foreign investment but it may encourage the BoE to put up interest rates, which will directly strengthen GBP. Otherwise, if economic data is weak, the Pound Sterling is likely to fall.

How does the Trade Balance impact the Pound?

Another significant data release for the Pound Sterling is the Trade Balance. This indicator measures the difference between what a country earns from its exports and what it spends on imports over a given period. If a country produces highly sought-after exports, its currency will benefit purely from the extra demand created from foreign buyers seeking to purchase these goods. Therefore, a positive net Trade Balance strengthens a currency and vice versa for a negative balance.

06.03.2025 23:18

GBP/USD snaps winning streak as Cable markets take a breather

GBP/USD saw little movement compared to recent price action on Thursday.
Momentum is faltering after a sharp correction in rate cut expectations.
Investors are hunkering down ahead of key US NFP jobs data figures on Friday.

GBP/USD faltered on Thursday, ending a stellar three-day run that saw the Pound Sterling gain 2.57% bottom-to-top against the Greenback from the start of the week. A sharp readjustment to central bank rate cut expectations means Cable will see a far thinner interest rate differential than previously anticipated, prompting a harsh rebalancing in currency markets.

Forex Today: The US Nonfarm Payrolls are coming!

Rate markets are now pricing in fewer than 50 bps in rate cuts from the Bank of England (BoE) in 2025, a sharp drawdown in rate cut expectations as central banks continue to grapple with sticky inflation. Despite a general weakening in the UK’s domestic economy which would normally prompt a rate response from the BoE, still-high inflation metrics have tied policymakers’ hands.

US President Donald Trump delivered yet another pivot on his tariff plans, announcing a temporary reprieve on tariffs for all products included in the USMCA agreement that he personally negotiated during his first term. Despite the continued walkback from the Trump administration on its own tariff threats, markets were unable to find enough risk appetite to tilt markets back into the high side.

US Nonfarm Payrolls (NFP) will take on renewed significance on Friday as investors begin to watch economic data in earnest. Although the US economy is in an overall healthy place, cracks are beginning to show in the labor market. A Fresh round of inflation pressures, largely attributed to tariff concerns, is also hobbling growth expectations.

GBP/USD price forecast

GBP/USD hit a speed bump at the 1.2900 handle, freezing the near-term bull run in its tracks and squeezing intraday bids into a tight consolidation candlestick. The Cable cleared the 200-day EMA near 1.2685 with ease, but bullish momentum is taking a breather.

Technical oscillators are still pinned in overbought territory, limiting bullish potential. However, an ongoing pattern of higher lows is baked into the chart as price action grinds higher from the technical bottom at 1.2100 in mid-January.

GBP/USD daily chart

Pound Sterling FAQs

What is the Pound Sterling?

The Pound Sterling (GBP) is the oldest currency in the world (886 AD) and the official currency of the United Kingdom. It is the fourth most traded unit for foreign exchange (FX) in the world, accounting for 12% of all transactions, averaging $630 billion a day, according to 2022 data. Its key trading pairs are GBP/USD, also known as ‘Cable’, which accounts for 11% of FX, GBP/JPY, or the ‘Dragon’ as it is known by traders (3%), and EUR/GBP (2%). The Pound Sterling is issued by the Bank of England (BoE).

How do the decisions of the Bank of England impact on the Pound Sterling?

The single most important factor influencing the value of the Pound Sterling is monetary policy decided by the Bank of England. The BoE bases its decisions on whether it has achieved its primary goal of “price stability” – a steady inflation rate of around 2%. Its primary tool for achieving this is the adjustment of interest rates. When inflation is too high, the BoE will try to rein it in by raising interest rates, making it more expensive for people and businesses to access credit. This is generally positive for GBP, as higher interest rates make the UK a more attractive place for global investors to park their money. When inflation falls too low it is a sign economic growth is slowing. In this scenario, the BoE will consider lowering interest rates to cheapen credit so businesses will borrow more to invest in growth-generating projects.

How does economic data influence the value of the Pound?

Data releases gauge the health of the economy and can impact the value of the Pound Sterling. Indicators such as GDP, Manufacturing and Services PMIs, and employment can all influence the direction of the GBP. A strong economy is good for Sterling. Not only does it attract more foreign investment but it may encourage the BoE to put up interest rates, which will directly strengthen GBP. Otherwise, if economic data is weak, the Pound Sterling is likely to fall.

How does the Trade Balance impact the Pound?

Another significant data release for the Pound Sterling is the Trade Balance. This indicator measures the difference between what a country earns from its exports and what it spends on imports over a given period. If a country produces highly sought-after exports, its currency will benefit purely from the extra demand created from foreign buyers seeking to purchase these goods. Therefore, a positive net Trade Balance strengthens a currency and vice versa for a negative balance.

06.03.2025 15:22

GBP/USD rally stalls near 1.2900 as trade war fears weigh on traders

GBP/USD trades at 1.2885, down 0.06%, after failing to sustain momentum above 1.2900.
US labor market shows resilience, with jobless claims lower than expected at 221K.
BoE cautious on rate cuts, while UK construction sector contracts to May 2020 levels.
Traders eye US Nonfarm Payrolls data, expected to rise by 160K in February.

The rally in the Pound Sterling stalled after sustaining three straight days of gains. It remains firmly below 1.2900 after hitting a year-to-date (YTD) peak of 1.2923. At the time of writing, the GBP/USD trades at 1.2885 and registers minuscule losses of 0.06%.

Sterling holds near YTD peak but struggles for further gains

Market mood remains negative amid a trade war spurred by the United States, which imposed tariffs on imports from Canada, Mexico, and China. Even though three of the largest US automakers experienced a one-month delay in tariffs on automobile imports from Mexico and Canada, investors are flocking toward safe-haven assets.

The US Department of Labor revealed that the labor market remains in good shape after releasing the Initial Jobless Claims for the week ending March 1. Claims rose by 221K, below estimates of 235K and last week’s 242K.

On Wednesday, the Federal Reserve (Fed) revealed in its Beige Book that economic activity rose slightly, employment nudged higher, and prices increased. However, US President Trump's trade policies keep businesses and households uncertain.

Other data showed the US trade deficits widened in January as companies front-loaded ahead of tariffs.

Across the pond, Bank of England (BoE) officials stated they would be very careful when easing policy, as they remain concerned of a possible reacceleration of inflation. In the meantime, S&P Global Construction PMI contracted in February, hitting its weakest level since May 2020.

Ahead this week, GBP/USD traders are eyeing the release of US Nonfarm Payrolls for February, which are expected to rise by 160K, up from 143K in January.

GBP/USD Price Forecast: Technical outlook

Technically speaking, the GBP/USD should continue to aim higher after clearing the 200-day Simple Moving Average (SMA) at 1.2786 and surpassing the latest cycle high at 1.2811, the December 6 high. If the pair closes on a daily basis above 1.2900, a move towards 1.3000 is on the cards.

Otherwise, sellers could push the exchange rate to 1.2811, the latest resistance-turned-support, before challenging 1.2800.

British Pound PRICE Today

The table below shows the percentage change of British Pound (GBP) against listed major currencies today. British Pound was the strongest against the US Dollar.

	USD	EUR	GBP	JPY	CAD	AUD	NZD	CHF
USD		-0.35%	0.10%	-0.64%	-0.41%	-0.17%	-0.28%	-0.62%
EUR	0.35%		0.46%	-0.22%	-0.06%	0.19%	0.07%	-0.27%
GBP	-0.10%	-0.46%		-0.67%	-0.51%	-0.26%	-0.37%	-0.69%
JPY	0.64%	0.22%	0.67%		0.14%	0.40%	0.25%	-0.04%
CAD	0.41%	0.06%	0.51%	-0.14%		0.26%	0.13%	-0.19%
AUD	0.17%	-0.19%	0.26%	-0.40%	-0.26%		-0.12%	-0.44%
NZD	0.28%	-0.07%	0.37%	-0.25%	-0.13%	0.12%		-0.31%
CHF	0.62%	0.27%	0.69%	0.04%	0.19%	0.44%	0.31%

The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the British Pound from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent GBP (base)/USD (quote).

06.03.2025 09:31

GBP/USD appears to have enough momentum to rise further – UOB Group

Pound Sterling (GBP) appears to have enough momentum to rise further vs US Dollar (USD); the levels to monitor are 1.2930 and 1.2975. In the longer run, outlook for GBP remains positive; the next technical target is at 1.2975, UOB Group's FX analysts Quek Ser Leang and Peter Chia note.

Outlook for GBP remains positive

24-HOUR VIEW: "Yesterday, when GBP was at 1.2790, we highlighted that 'while the rapid rise appears set to continue, the next major resistance at 1.2900 is likely out of reach today.' Our view of GBP strength was incorrect, even though it managed to touch 1.2901 in the late NY session. Although deeply overbought, GBP appears to have enough momentum to rise further. The levels to monitor are 1.2930 and 1.2975. Conversely, on the downside, the levels to watch are 1.2840 and 1.2800."

1-3 WEEKS VIEW: "Yesterday (06 Mar, spot at 1.2790), we pointed out, 'risk for GBP remains clearly on the upside, and the level to monitor is 1.2900.' We also pointed out that 'the ‘strong support’ at 1.2680 will likely remain intact for the next couple of days.' GBP subsequent rose to a high of 1.2901. We continue to hold a positive outlook in GBP. The next technical target is at 1.2975. On the downside, the ‘strong support’ level has moved higher to 1.2760."

CFD Trading Rate Great Britain Pound vs US Dollar (GBPUSD)

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British Pound PRICE Today