- The sterling pound is firmly negotiated against the US dollar while investors overlook the confirmation of the commercial agreement between the US and Japan.
- Trump reduces tariffs to Japan to 15% from the previously announced 25%.
- The United Kingdom government requested the second largest number of funds in June since 1993.
The sterling pound (GBP) advances in front of its peers, except the currencies of the antipodes, Wednesday. The British currency attracts offers even when the United Kingdom’s tax risks have resurfaced, after the indebtedness of the Government of the National Statistics Office (ONS) on Tuesday.
The report showed that the Administration raised the second largest amount of funds since 1993 to mitigate the increase in debt costs, which accelerated due to the greater inflation. The increase in loans in the United Kingdom paves the way for tax increases by the administration in its next autumn report.
Meanwhile, investors expect the publication of the preliminary data of the Purchase Managers Index (PMI) of Julio Global on Thursday. Investors will closely monitor the PMI data, since they will indicate whether the hiring trend in the United Kingdom’s private sector is still slow. Private employers have slowed their contracting tendency to compensate for the increase in the cost of social security schemes.
Economists expect the compound PMI to be located 51.9 compared to 52.0 in June, which suggests that general business activity continued to expand, but at a moderate pace.
In the front of the monetary policy, market experts are increasingly sure that the Bank of England (BOE) will cut interest rates in its August monetary policy meeting. The brokerage houses, including Bank of America (Bofa) Global Research, Citigroup, Morgan Stanley and Goldman Sachs, have anticipated a reduction of 25 basic points (PBS) at the policy meeting next month.
LIBRA ESTERLINA PRICE TODAY
The lower table shows the percentage of pounding sterling (GBP) compared to the main currencies today. Libra sterling was the strongest currency in front of the euro.
| USD | EUR | GBP | JPY | CAD | Aud | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.18% | -0.05% | 0.10% | -0.16% | -0.48% | -0.73% | -0.04% | |
| EUR | -0.18% | -0.23% | -0.07% | -0.33% | -0.68% | -0.91% | -0.22% | |
| GBP | 0.05% | 0.23% | 0.18% | -0.10% | -0.45% | -0.68% | 0.07% | |
| JPY | -0.10% | 0.07% | -0.18% | -0.25% | -0.56% | -0.73% | -0.12% | |
| CAD | 0.16% | 0.33% | 0.10% | 0.25% | -0.31% | -0.37% | 0.15% | |
| Aud | 0.48% | 0.68% | 0.45% | 0.56% | 0.31% | -0.23% | 0.51% | |
| NZD | 0.73% | 0.91% | 0.68% | 0.73% | 0.37% | 0.23% | 0.75% | |
| CHF | 0.04% | 0.22% | -0.07% | 0.12% | -0.15% | -0.51% | -0.75% |
The heat map shows the percentage changes of the main currencies. The base currency is selected from the left column, while the contribution currency is selected in the upper row. For example, if you choose the sterling pound from the left column and move along the horizontal line to the US dollar, the percentage change shown in the box will represent the GBP (base)/USD (quotation).
What moves the market today: the pound sterling progresses despite the renewed fiscal risks of the United Kingdom
- The sterling pound clings to profits about 1,3540 against the US dollar (USD) during the European negotiation session on Wednesday. The GBP/USD pair is firmly negotiated while the US dollar struggles to find land, even when Washington has confirmed a commercial agreement with Japan, which is one of its main commercial partners.
- The American dollar index (DXY), which tracks the value of the dollar against six main currencies, quotes around 97.45 at the time of writing, about the minimum of two weeks of 97.30 registered on Tuesday.
- The president of the United States, Donald Trump, declared through a publication in Truth. Social on Tuesday that a commercial agreement with Japan has been confirmed, according to which Washington will collect tariffs of 15% on Tokyo imports. Trump also said that Japan will open its economy to US companies and invest 550,000 million dollars.
- “Japan will open your country to commerce, including cars and trucks, rice and certain other agricultural products, and other things. Japan will pay reciprocal tariffs to the United States of 15%,” he wrote. Washington also closed a bilateral agreement with the Philippines on Tuesday.
- The commercial agreement between the US and Japan arrives at a time when the Asia-Pacific giant faces political risks, after the announcement of the Japanese Prime Minister Shigeru ishiba that he will resign at the end of August.
- Looking ahead, investors will focus on the preliminary data of the US PMI for July, which will be published on Thursday. The US PMI report is expected to have grown at a faster rate, driven by expansion in manufacturing and service sectors.
- Meanwhile, market expectations for the Federal Reserve (FED) to reduce interest rates at the September meeting have decreased, since experts believe that the impact of tariffs imposed by President Trump has begun to be reflected in prices.
- According to the CME Fedwatch tool, the probability that the FED reduces interest rates at the September policy meeting has also been reduced to 58.7% since 69.6% seen a month ago.
Technical Analysis: The sterling pound returns above 1,3500
The Pound sterling It is negotiated near Tuesday’s maximum above 1,3500 in front of the Dollar American on Wednesday. The GBP/USD torque strives to return above the 20 -day exponential mobile average (EMA) about 1,3520. The short -term trend of the torque will become bullish if it manages to do it.
The 14 -day relative force (RSI) index bounces about 50.00, indicating indecision among investors and a purchase interest in the minimum.
Looking down, the minimum of May 12, 1,3140 will act as a key support zone. On the positive side, the maximum of July 1 around 1,3790 will act as a key barrier.
Economic indicator
PMI compound global s & p
The index composed of purchasing managers (PMI), published monthly by S&P globalit is an advanced indicator that measures private business activity in the United Kingdom for both manufacturing and services sectors. The data is derived from surveys to senior executives. Each response is weighted according to the size of the company and its contribution to the total production of manufacturing or services counted by the sub-director to which that company belongs. The responses of the survey reflect the change, if there is, in the current month compared to the previous month and can anticipate changing trends in official data series such as the Gross Domestic Product (GDP), industrial production, employment and inflation. The index varies between 0 and 100, with levels of 50.0 that indicate that there is no change compared to the previous month. A reading above 50 indicates that the private economy of the United Kingdom is expanding in general, which is an upward sign for sterling pound (GBP). Meanwhile, a reading below 50 points out that the activity is decreasing in general, which is considered bassist for the GBP.
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Next publication:
Jul 24, 2025 08:30 (PREL)
Frequency:
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Fountain:
S&P global
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.
