The British Pound slipped 0.27% against the US Dollar on Monday, with the GBP/USD pair trading at 1.3439 after hitting an intraday peak of 1.3506. The Sterling’s retreat comes as the Greenback regained strength following robust ISM data that bolstered the Dollar’s appeal. Contributing to improved market sentiment, the United States has paused military strikes on Iran, while both nations have returned to the negotiating table seeking a swift resolution to tensions.
The combination of stronger-than-expected US economic indicators and de-escalating geopolitical risks has shifted flows back toward the Dollar, pressuring Sterling and other major currencies. Traders are now watching for further developments in US-Iran diplomacy and upcoming economic releases that could sustain or reverse the Dollar’s recovery. The Pound faces technical pressure after failing to hold gains above 1.35.
FXnCO Insight
Traders should monitor US economic data releases and geopolitical headlines closely, as sustained Dollar strength could push GBP/USD toward support levels near 1.34.
Source: FXStreet