Pound Falls as Soft UK CPI and Hawkish Fed Decision Weigh
The British pound faced pressure from two fronts: weaker-than-expected UK inflation data and a hawkish first Federal Reserve decision under Kevin Warsh.
GBPUSD
Sterling took a hit on Wednesday as softer-than-expected UK consumer price inflation set a negative tone early in the session. The data reduced expectations for further Bank of England tightening.
The selling pressure intensified after the Federal Reserve, under new Chair Kevin Warsh, delivered a hawkish policy decision—his first—which bolstered the US dollar across the board. The combination left GBP/USD trading sharply lower.
Source: FXStreet Forex News