GBPUSD:
The GBP/USD pair slowed on Thursday, hovering near 1.3430 after volatile moves earlier in the week. U.S. Nonfarm Payrolls (NFP) always carry weight, but this Friday’s U.S. jobs debate has taken on even greater significance than usual.
Markets are calling for a Federal Reserve rate cut this month, and tunnel-vision traders are welcoming the deepening downturn in U.S. employment data.
Despite a short-term rise in inflation that effectively wiped out a year of progress in fighting price growth, investors hope that the worsening U.S. labor market will force the Fed to look past inflationary pressures and cut the policy rate by the end of the third quarter to support job creation in the economy.
Trading recommendation: BUY 1.3450, SL 1.3425, TP 1.3545
Origin: FreshForex
