GBP/USD Edges Higher on Soft US CPI Data, Targets 1.3500
The British Pound rose 0.1% to 1.3403 against the US Dollar as soft US CPI data weakened the dollar, pushing GBP/USD towards the 1.3500 target.
GBPUSD
The GBP/USD pair edged up 0.1% to trade around 1.3403 during the European session on Wednesday. The move higher came as softer-than-expected US Consumer Price Index data fueled selling pressure on the US Dollar, prompting market participants to scale back expectations for Federal Reserve interest rate hikes.
With the dollar under renewed pressure, the British Pound has room to extend gains. The 1.3500 level now emerges as the next upside target for the pair, supported by the shifting rate outlook that reduces the dollar’s yield advantage.
Source: FXStreet Forex News