🇬🇧 GBP/USD Holds Below 1.2400 Amid Firmer USD 🇺🇸
📉 GBP/USD Softens to 1.2390 (-0.14%) in Monday’s Asian session
💵 US Dollar Gains as Trump vows reciprocal tariffs on multiple countries
🏦 BoE’s Bailey: A "gradual and careful approach" to monetary policy remains appropriate
🔹 Key Market Drivers 🔹
🔸 Trump’s Trade Policy:
Trump to announce reciprocal tariffs on Tuesday or Wednesday
Tariffs on UK goods could be in focus, affecting GBP sentiment
Trade tensions may boost safe-haven demand for USD
🔸 BoE’s Rate Cut Expectations:
BoE Governor Bailey signals further rate cuts are likely
UK economic activity weakening, job market slowing down
Markets expect 50 bps of BoE rate cuts in 2025
🔸 Upcoming US CPI Data (Wednesday):
Could influence Fed rate expectations and USD strength
Higher inflation = Stronger USD 💪 | Lower inflation = Weak USD 📉
📊 Market Watch: GBP/USD remains pressured, with trade and monetary policy in focus. Keep an eye on US CPI and Trump’s tariff announcement for further direction! 🚨