GBP/USD: Pound likely to drop before bouncing higher later in 2022 – MUFG By MSalordFX GBPUSD EURGBP Banks
at 1.3170 by the end of the first quarter and at 1.3730 by the third. Regarding the EUR/GBP they forecast at 0.8350 by the end of Q1 and at 0.8300 by Q3. “The pound was the second best performing G10 currency in 2021 which we believe in part reflects some catch-up after being the third worst performing G10 currency in 2020. The global lead in covid vaccinations played an important role in GBP performance over the whole year.
“This paring back of rate hike expectations will see GBP underperform versus the US dollar before gains materialise in the second half of the year. By then we assume the uncertainty over the Northern Ireland protocol will have been resolved. There is of course a risk that this issue escalates again and undermines GBP performance but we suspect each passing year will see less and less impact in FX fromuncertainties.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
GBP/USD Forex Signal: Path of Least Resistance is HigherThe GBP/USD pair jumped to the highest level since November after the mixed jobs numbers from the United States.
Read more »
Higher Education’s 2022 New Year ResolutionsHigher education leaders should take the opportunity to adopt institutional new year's resolutions in 2022.
Read more »
GBP/USD Price Analysis: Bulls have the upper hand above 100-DMA, move beyond 1.3600 awaitedGBP/USD Price Analysis: Bulls have the upper hand above 100-DMA, move beyond 1.3600 awaited By HareshMenghani GBPUSD Technical Analysis Majors Currencies
Read more »
NATPE Miami Cancels In-Person Conference Amid Omicron Surge; Plans Hybrid Offerings Later In 2022NATPE Miami has become the latest major in-person entertainment industry event to be shelved due to concerns over the current Covid spike driven by the highly infectious Omicron variant. The decisi…
Read more »
GBP/USD Forecast: Downward correction could extend if buyers give up on 1.3600GBPUSD has gone into a consolidation phase following Friday's advance. 10-year US T-bond yield climbed to its highest level in two years. Key near-term resistance seems to have formed at 1.3600. Trading FX Forex
Read more »
AUD/USD Price Analysis: Bulls attack 20-DMA to refresh intraday top but stay cautiousAUD/USD Price Analysis: Bulls attack 20-DMA to refresh intraday top but stay cautious By anilpanchal7 AUDUSD Technical Analysis ChartPatterns SupportResistance SwingTrading
Read more »