GBP/USD Holds Steady Near 1.2300, US NFP in Focus
GBP/USD held steady for the fourth straight day, trading around 1.2300 during the Asian session on Friday (10/1). The GBP/USD pair fell to 1.2238 on Thursday, marking its lowest level since November 2023, as the pound sterling (GBP) strengthened amid growing concerns about the United Kingdom’s (UK) fiscal and inflation outlook, which weighed heavily on investor sentiment.
Despite a surge in UK long-term bond yields—with the 30-year yield hitting its highest level since 1998 and the 10-year yield hitting a level last seen in 2008—the British pound failed to find support. Typically, higher yields strengthen a currency, but in this case, the decline reflected capital flight driven by persistent inflation concerns and fiscal instability.
Source: FXStreet