GBP/USD outlook: Cable eases after soft CPI data but still lacks clearer direction signals
Cable fell to two-week low on Wednesday on softer than expected UK February inflation data that fuel expectations for BoE rate cut in May.
Fresh weakness pressure support at 1.2883 (20DMA / last Friday’s low) break of which to open way for deeper correction (dips from new multi-month high at 1.3014 were so far shallow) and expose next significant support at 1.2798 (200DMA / Fibo 23.6% of 1.2099/1.3014 rally). Read more…
GBP/USD Forecast: Pound Sterling looks vulnerable after soft inflation data
GBP/USD stays under bearish pressure in the European session on Wednesday and trades at around 1.2900. The pair could stretch lower in case 1.2880 support area fails. Pound Sterling weakens against its major rivals following the soft inflation readings from the UK.
The Office for National Statistics announced early Wednesday that the Consumer Price Index (CPI) rose 2.8% on a yearly basis in February. This reading followed the 3% increase recorded in January and came in below the market expectation of 2.9%. The core CPI, which excludes volatile food and energy prices, rose 3.5% in the same period, below analysts’ estimate of 3.6%. Read more…
