empty
17.06.2025 08:24 PM
GBP/USD. Analysis and Forecast

This image is no longer relevant

The GBP/USD pair is steadily holding above the key psychological level of 1.3500 ahead of the UK Consumer Price Index release and the upcoming monetary policy meetings of the Federal Reserve and the Bank of England.

At the moment, GBP/USD is trading within a narrow range above the round level of 1.3500. Spot prices remain close to the three-year high reached last week, reflecting sustained trader interest in the pair. However, market activity is restrained as traders await key macroeconomic data and central bank decisions.

UK consumer inflation data is expected on Wednesday. Its release may significantly impact the pound (GBP), particularly in the context of the Bank of England's monetary policy decision scheduled for Thursday. According to recent data showing the UK economy has contracted more than expected, interest rate cuts are likely, which could weigh on the pound.

The Federal Reserve's rate decision is also scheduled for Wednesday. Expectations of a potential rate-cutting cycle resuming in September are creating uncertainty and capping the US dollar's gains.

At the same time, rising geopolitical tensions are fueling demand for the US dollar as a safe haven, thereby strengthening it and limiting the upside potential for GBP/USD.

Overall, the current situation reflects a balance between supportive factors for the dollar and downside risks for the British currency. Traders are advised to closely monitor the release of key economic data and central bank announcements, as these may act as catalysts for significant GBP/USD movements in the coming days.

From a technical standpoint, prices remain near a multi-year high, and daily chart oscillators are in positive territory and far from the overbought zone—supporting a bullish outlook. As a result, any correction is likely to be viewed as a buying opportunity.

Irina Yanina,
Analytical expert of InstaForex
© 2007-2025
Summary
Urgency
Analytic
Irina Yanina
Start trade
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

AUD/JPY. Analysis and Forecast

Today, Tuesday, during the European session, the AUD/JPY pair reached the round level of 97.00. The yen continues to show relative weakness amid growing expectations that the Bank of Japan

Irina Yanina 12:44 2025-07-15 UTC+2

EUR/USD. Analysis and Forecast

On Tuesday, the EUR/USD pair is gaining positive momentum, recovering from more than two weeks of declines triggered by Trump's threat to impose new tariffs. On Saturday, Trump announced plans

Irina Yanina 12:30 2025-07-15 UTC+2

The European Union Finalizes Second List of Countermeasures

The European Union has finalized its second list of countermeasures against U.S. goods, totaling 72 billion euros. This step comes in response to the ongoing trade tensions between

Jakub Novak 11:25 2025-07-15 UTC+2

Trump's Actions Alarm Germany

While the euro remains relatively stable, German Chancellor Friedrich Merz is not feeling as confident. In a recent interview, he stated that U.S. President Donald Trump's threat to impose 30%

Jakub Novak 11:11 2025-07-15 UTC+2

Rising Inflation in the U.S. Will Decrease the Likelihood of Fed Rate Cuts (Possible Resumption of USD/CAD and Bitcoin Growth)

While President Donald Trump continues playing his favorite game called "Make America Great Again," market participants are calculating the cost of U.S. trade wars with nearly the entire world

Pati Gani 09:58 2025-07-15 UTC+2

The Market Will Break Out of Its Cage

Deep down, markets still believe tariffs could become an inflationary force. However, without confirmation from official data, investors are not ready to sell the S&P 500. They've grown accustomed

Marek Petkovich 09:14 2025-07-15 UTC+2

What to Pay Attention to on July 15? A Breakdown of Fundamental Events for Beginners

Several macroeconomic reports are scheduled for Tuesday. The key report of the day is, of course, the U.S. Consumer Price Index (CPI). Why is it important? At the moment, inflation

Paolo Greco 07:27 2025-07-15 UTC+2

GBP/USD Overview – July 15: U.S. Budget Turns Surplus — What's Next?

The GBP/USD currency pair continued to trade lower on Monday, despite the lack of any strong fundamental reasons for such a move. Of course, one can always find or even

Paolo Greco 03:58 2025-07-15 UTC+2

EUR/USD Overview – July 15: No Agreement Signed with the EU. Mexico Gets Caught in the Crossfire

The EUR/USD currency pair traded very calmly throughout Monday, as the market continued to ignore Trump's tariff hikes. If the euro remains flat while the British pound is actively falling

Paolo Greco 03:58 2025-07-15 UTC+2

The Budget Is Now in Surplus, but the National Debt Isn't Falling

Last Friday, the U.S. Treasury Department announced the first budget surplus since 2017. Many in the market may have interpreted this as great news for the dollar

Chin Zhao 00:48 2025-07-15 UTC+2
Can't speak right now?
Ask your question in the chat.
Widget callback
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.