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30 Dec 2014
GBP/USD bid, but not that bid
FXStreet (Guatemala) - GBP/USD is trading at 1.5566, up 0.34% on the day, having posted a daily high at 1.5576 and low at 1.5501.
GBP/USD has been bid vs a sold off greenback, yet Sterling has failed to take full advantage and the upside has been limited to the 1.55 handle with some resistance 1.5560/70. The markets are thin, spikes have been apparent, and this may remain the theme until we return to normal “next year”.
2015 has been sighted as the year of the greenback for the Fed is one of few Central Banks that is likely to raise rates next year. Sterling has a number of complications in its path. Politics will come into play and the size of the budget deficit and the size of the current account deficit may be the distraction of 2015 for the pound, more so than the rate of growth of GDP in 2015, weighing on the outlook for the value of the currency.
GBP/USD has been bid vs a sold off greenback, yet Sterling has failed to take full advantage and the upside has been limited to the 1.55 handle with some resistance 1.5560/70. The markets are thin, spikes have been apparent, and this may remain the theme until we return to normal “next year”.
2015 has been sighted as the year of the greenback for the Fed is one of few Central Banks that is likely to raise rates next year. Sterling has a number of complications in its path. Politics will come into play and the size of the budget deficit and the size of the current account deficit may be the distraction of 2015 for the pound, more so than the rate of growth of GDP in 2015, weighing on the outlook for the value of the currency.