GBP/USD SUBDUED NEAR 1.2500 DUE TO FED RATE CUT EXPECTATIONS

Tina Collins

27 Dec 2024 — 1 min read

GBP/USD SUBDUED NEAR 1.2500 DUE TO FED RATE CUT EXPECTATIONS

GBP/USD remains subdued around 1.2520 due to light trading post-Christmas.

US Dollar strengthens as expectations grow for fewer Fed rate cuts next year.

The Pound Sterling struggles amid a surprise MPC split vote, suggesting faster monetary easing in 2025.

Fed reduced interest rates by 0.25% in December, lowering 2025 rate cut projections from four to two.

US Dollar Index (DXY) stays above 108.00, though gains are limited by subdued US Treasury yields (2-year at 4.33% and 10-year at 4.58%).

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ECB MEMBER ELDERSON WARNS OF RISKS OF RAPID RATE CUTS!

CHINA'S IMPORTS OF RUSSIAN OIL HIT RECORD HIGH LAST YEAR

CHINA'S VICE PRESIDENT HAN ZHENG MEETS MUSK AND VANCE, DISCUSSES CHINA-US RELATIONS

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