Menu
Beware of fraudulent websites impersonating us. Verify website URLs and legal entity details. Avoid unsolicited emails and report suspicious activity.
Your safety is paramount. Thank you for your attention and cooperation. See more details
Beware of fraudulent websites impersonating us. Verify website URLs and legal entity details. Avoid unsolicited emails and report suspicious activity.
Your safety is paramount. Thank you for your attention and cooperation. See more details
The GBPUSD pair erased over 1% in gains on Friday after a sharp rally in the US dollar, triggered by the latest US jobs report. The UK currency initially rose to a session high of $1.3230, nearing its 2024 peak, before falling. This reversal followed the release of US jobs data that showed the economy added 142,000 new jobs in August, below the consensus estimate of 164,000, leading to a drop in the pound-dollar exchange rate.
Prior to the report, markets had anticipated a 25 basis point (bps) interest rate cut from the Federal Reserve, boosting the outlook for the pound. However, the weaker-than-expected jobs figure caused traders to reassess, leading to a resurgence in the dollar. The potential for the Federal Reserve to take a more cautious approach has dampened enthusiasm for the British pound, wiping out gains made earlier in the week.
The surprising shift in the dollar’s momentum highlights how sensitive currency markets are to US economic data. Traders had been betting on a moderate rate cut, but the jobs report has raised questions about whether a 25bps trim will be enough to support the economy. This uncertainty gave the US dollar an unexpected boost as investors turned to safer assets.
Despite the rally, there is still a chance for further volatility. Analysts suggest that if the Federal Reserve opts for a more aggressive 50bps cut instead of the expected 25bps, the US dollar could weaken sharply. This would likely provide a boost for GBP/USD, as lower interest rates typically encourage investors to seek higher-risk assets, diminishing demand for safe-haven currencies like the dollar.
As the market gears up for the Federal Reserve’s interest rate decision on September 18, the GBP/USD pair could see significant movement. Traders are closely monitoring both economic data and Fed signals for clues on the future of monetary policy and its impact on currency markets.
This website is published by Fortune Prime Limited
The information provided on this website is intended for general informational purposes only and does not constitute financial or investment advice. The content on this website is not tailored to the specific circumstances or investment objectives of any individual or entity.
Please be aware that the products mentioned on this website, including Over the Counter (OTC) foreign exchange contract and derivative products carries a high level of risk which may not be suitable for everyone, that may result in the loss of your investment. We strongly recommend seeking professional advice or conducting thorough research before making any investment decisions or engaging in derivative product trading.
This website may provide links to external websites or third-party content for your convenience. However, we do not endorse or take responsibility for the accuracy, completeness, or reliability of any information, products, or services offered by these external sources.
By using this website, you acknowledge that you have read, understood, and agreed to the terms of this disclaimer. If you have any questions or concerns, please contact us for further clarification.
Please note that this disclaimer applies specifically to non-Australian products. If you are located in Australia, different regulations and disclosures may apply.
The availability, terms, and conditions of these products may vary depending on your jurisdiction.
The services listed on this website are not available to residents of the USA, Japan Ukraine, New Zealand, Australia, and North Korea.
FPG is authorized and regulated in various jurisdictions.
Fortune Prime Limited trading as FPG Fortune Prime Global, is authorised and regulated by the Vanuatu Financial Services Commission (VFSC), number 700507 .
Fortune Prime Global Capital Pty Ltd is authorised and regulated by the Australian Securities and Investments Commissions (ASIC), AFSL no. 400364. It is authorised to perform financial services in Australia, limited to the authorisations given to it, and only for Australian residents.
Financial Services Guide | Privacy Policy | Product Disclosure Statement | Terms & Conditions
This website is published by Fortune Prime Limited.
Investing in Over the Counter (OTC) foreign exchange and derivative products carries a high level of risk and is not suitable for all investors. You do not own, or have, any interest in the underlying assets. We encourage you to consider your investment objectives, your risk tolerance, and trading experience and seek independent financial or tax advisor advice or conducting thorough research before trading. You could lose substantially more than your initial investment so do not invest money you cannot afford to lose. We only provide general advice which does not consider your financial objectives or personal circumstances. The content of this website should not be interpreted as personal advice.
Customers registered on this website will open under Fortune Prime Limited, which is incorporated in Vanuatu with a financial license number 700507 and is regulated by the Vanuatu Financial Services Commission (VFSC).
The Fortune Prime Group of companies is authorized and regulated in various jurisdictions.
Fortune Prime Limited trading as Fortune Prime Global, is authorised and regulated by the Vanuatu Financial Services Commission (VFSC), number 700507 and is Registered address: 1276, Govant Building, Kumul Highway, Port Vila, Vanuatu.
Financial Services Guide | Privacy Policy | Product Disclosure Statement | Terms & Conditions
Please add the WeChat FPG_01, or scan the QR code.
Please add the WeChat FPG_01, or scan the QR code.
Please add the WeChat FPG_01, or scan the QR code.
