GBP/USD Slips After Crossing 1.25 Level Briefly, No-Deal Brexit Risk Weighs - Forex News by FX Leaders

GBP/USD Slips After Crossing 1.25 Level Briefly, No-Deal Brexit Risk Weighs

Posted Thursday, September 19, 2019 by
Arslan Butt • 1 min read

After rising above the 1.25 level, the Pound is trading slightly lower but steady against the US dollar into Thursday. At the time of writing, GBP/USD is trading at around 1.246.

Britain’s CPI for August came in less than expected at 1.7%, down from 1.9% expected and in July. This caused a sell-off in the Pound but it recovered shortly thereafter to cross the 1.25 level briefly.

GBP/USD touched a six-week high of 1.2528 over rising hopes that UK PM Boris Johnson could try to get a new Brexit deal approved by the EU before the October 31 deadline. The Pound had been rising over the past few weeks over a reduced likelihood of a no-deal Brexit scenario.

However, the Cable slipped lower after the EU cautioned that the risk of a no-deal Brexit still remains, until Britain comes up with a realistic alternative to the Irish backstop issue. While addressing EU lawmakers, European Commission President Juncker stated, “There is very little time left … The risk of a no-deal is very real”.

Check out our free forex signals
Follow the top economic events on FX Leaders economic calendar
Trade better, discover more Forex Trading Strategies

About the author

Arslan Butt // Index & Commodity Analyst
Arslan Butt is our Lead Commodities and Indices Analyst. Arslan is a professional market analyst and day trader. He holds an MBA in Behavioral Finance and is working towards his Ph.D. Before joining FX Leaders Arslan served as a senior analyst in a major brokerage firm. Arslan is also an experienced instructor and public speaker.
Related Articles
0 0 vote
Article Rating
Notify of
Inline Feedbacks
View all comments