The sterling pound (GBP) is a prominent relative as we approach the American session on Wednesday, climbing almost 0.3% against the US dollar (USD) with a remarkable increase in response to the publication of the strongest CPI than expected for the month of May. Both the general and the underlying CPI are in the average area of ​​3% and have seen a slight increase after the bottom of 2024, with the general CPI, just below 2% and the underlying above 3%.
GBP wins with a stronger CPI before Thursday’s BOE
“Inflation figures are important for those responsible for policies for Thursday’s BOE, where a pause is widely anticipated and deliberation will focus on the prospects for rates and the possibility of greater relief. The short -term rates markets are valuing around 50 basic relief points for the end of the year, with a cut of 25 basic points for September and a second additional cut for December.”
The trend is still upward, despite Tuesday’s setback. The GBP continues to operate above the 50 -day mobile average (1,3381), an important level of medium -term support. However, a significant impulse has been lost, and more losses from the current levels would force a more significant reevaluation of the technical perspective. For now, we are looking for support in 1,3400 and resistance around 1,3550.
Source: Fx Street
I am Joshua Winder, a senior-level journalist and editor at World Stock Market. I specialize in covering news related to the stock market and economic trends. With more than 8 years of experience in this field, I have become an expert in financial reporting.
