๐ #PoundSterling Recovers as Greenback Retreats! ๐ฌ๐ง๐ท vs ๐บ๐ธ๐ต
The British Pound (GBP) is making waves midweek, bouncing back close to 1.3500 against the US Dollar (USD). Here's what you need to know:
๐น GBP/USD Recovery
โช๏ธ Rebounds from intraday low of 1.3460
โช๏ธ Supported by weakening US Dollar Index (DXY) โ drops to 99.50 from 99.85
๐น Whatโs Pressuring the USD?
๐ DXY down despite US-EU trade optimism
๐จ๏ธ Trump on Truth Social: EU speeding up trade talks
๐ May Consumer Confidence jumps to 98.0, snapping a 5-month decline
๐ Easing US-China tensions = bullish sentiment lift
๐น Poundโs Power Boosters
๐ฆ BoE unlikely to cut rates in June
๐ Strong UK macro data:
April Retail Sales up 1.2% MoM
Q1 GDP grows 0.7% vs. 0.1% prior
Service inflation spikes to 5.4% YoY
๐ฌ IMF raises UK GDP forecast for 2025 to 1.2%
๐น Market Outlook
๐ Investors eye US PCE Price Index this Friday
๐ Fed expected to hold policy steady amid political shifts
๐ Technical Highlights
๐ GBP/USD holds above 20-day EMA (1.3380)
๐ RSI > 60 = bullish momentum intact
๐ผ Resistance: January 2022 high at 1.3750
๐ฝ Support: 20-day EMA zone
๐ฅ Stay tuned as the GBP rides the recovery wave while the USD cools off!