GBP/USD tumbles near 1.2500 breakdown as US data boosts USD
The post GBP/USD tumbles near 1.2500 breakdown as US data boosts USD appeared on BitcoinEthereumNews.com.
GBP/USD drops over 60 pips, pressured by robust US job and GDP reports, flirting with the 1.2500 threshold. US 10-year Treasury yield climbs seven bps to 4.592%, reinforcing dollar strength against the British Pound. BoE holds interest rate steady in a split decision, with mixed expectations for future rate adjustments in early 2025. The GBP/USD extended its losses during the North American session, with sellers targeting a break below 1.2500. Cable is losing over 0.48% or 60 pips on the day. At the time of writing, the pair hovers near 1.2500. Cable declines sharply amid strong US economic data and rising Treasury yields US data released ahead of the New York open hinted that the labor market remains solid and the economy is expanding. Initial Jobless Claims for the week ending December 14 fell from 242K to 220K, below forecasts of 230K. At the same time, the US Bureau of Economic Analysis (BEA) revealed that the Gross Domestic Product in Q3 ended at 3.1%, above estimates of 2.8% and up from 3% in Q2. Earlier, the Bank of England (BoE) left rates unchanged at 4.75% in a 6-3 vote split. At the time of writing, the odds that the BoE will hold rates in February 2025 stand at 57%, while for a quarter of a percentage point rate cut, chances are at 43%. Source: Prime Market Terminal Lately, the GBP/USD has extended its losses as US Treasury yields soared, with the 10-year T-note yielding up seven basis points (bps) at 4.592%. This underpins the Greenback, as seen by the US Dollar Index (DXY), gaining 0.24% at 108.45. GBP/USD Price Forecast: technical outlook The GBP/USD is falling rapidly towards testing the November 22 low of 1.2486. In that outcome, sellers would not have anything on the way ahead of the April…
