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Aug 21 - 05:55 PM

GBP/USD - Marches Higher, Rises Above 1.31 As Data Hints At More-Dovish Fed

By Paul Spirgel  —  Aug 21 - 02:15 PM
  • GBP$ firm into NY afternoon, +0.62% at 1.3114; Wednesday range 1.3115-11

  • Pair higher after lower BLS payroll revision, higher still post-Fed minutes

  • Fed mins from July 30-31 hold little sway after Aug 1 NFP, today's revision

  • UST yields slip, belly of curve down 8-6bp ahead of Fed's Powell Friday

  • Sterling hovers by 2024 high, bulls await Powell J-Hole comments

  • LSEG's IRPR indicates -105bp by December 2024; Sept -50bp odds now near 40%

  • GBP$ res 1.3115 Wednesday post-minutes high, 1.3147 Jul 10 2023 wkly high

  • Support 1.3053 rising 10-HMA, 1.3011 Wednesday low, 1.2961 100-HMA

  • GBP$ consecutive run of higher highs, higher lows adds to bullish tenor

Source:
Refinitiv IFR Research/Market Commentary

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