GBP/USD Forecast: Pound Sterling struggles to attract buyers

GBP/USD stays on the back foot following Thursday’s rebound and trades slightly below 1.3300 in the European session on Friday. The renewed US Dollar (USD) strength makes it difficult for the pair to hold its ground as investors remain focused on latest developments surrounding the US-China trade relations.

US President Donald Trump said late Thursday that a meeting between Chinese and US officials took place earlier in the day. During the Asian trading hours, Bloomberg reported that China was considering suspending its 125% tariff on some US imports, including medical equipment and ethane, and officials were having discussions about waiving tariffs on plane leases. Read more…

GBP/USD Forecast: Pound Sterling could push lower if 1.3250 support fails

GBP/USD extended its decline into a second consecutive day on Wednesday and registered its lowest daily close in a week near 1.3250. The pair holds its ground early Thursday and recovers toward 1.3300.

The disappointing Purchasing Managers Index (PMI) data from the UK, which showed a contraction in the private sector’s business activity in April, caused Pound Sterling to weaken against its rivals during the European trading hours on Wednesday. Later in the day, the US Dollar (USD) benefited from heightened optimism about easing tensions between China and the US, causing the pair to stretch lower. Read more…