GBP/USD rollercoaster ride in Q1 – Will the pair continue upside rally in 2025?
In the first quarter of 2025, the British Pound experienced significant fluctuations against the dollar. GBPUSD began the year at approximately 1.2500, dipped to a low of 1.2100 on January 13, and surged to a high of 1.3014 by mid-March, having an overall performance of 3.5% year-to-date. This volatility was driven by a mix of economic factors and policy decisions.
The Bank of England (BoE) played a pivotal role in shaping the pound’s movement. In February, the BoE reduced the interest rate by 25 basis points to 4.5%. This move aimed to bolster economic growth amid slowing inflation and subdued domestic demand. While the rate cut provided some economic relief, it also contributed to the pound’s initial depreciation. Read more…
GBP/USD Forecast: Pound Sterling fails to benefit from upbeat data
GBP/USD gathered bullish momentum and closed in positive territory on Thursday. The pair stays in a consolidation phase near 1.2950 in the European session on Friday as markets await the next key data release from the US.
The broad-based US Dollar (USD) weakness helped GBP/USD gain traction on Thursday as the auto tariffs announcement by US President Donald Trump revived concerns over an economic slowdown. Read more…
