- BP/USD traders are focused on the UK’s July Manufacturing and Services PMI and significant U.S. economic reports, including the Q2 2024 GDP and the PCE Price Index.
- Cooling inflation in June suggests the Fed’s efforts are working, potentially leading to rate cuts in September, with markets expecting the federal funds rate to be maintained next week.
On Wednesday, GBP/USD traders will focus on the UK’s July Manufacturing and Services PMI, expected to show slight increases.
Although, more significant events will come from the U.S., including the annualized Q2 2024 GDP and the PCE Price Index.
The Fed’s preferred inflation gauge likely cooled in June, suggesting its efforts to curb prices are working, potentially paving the way for rate cuts in September.
Markets expect the Fed to maintain the federal funds rate next week but anticipate a cut in September, according to the CME Group’s FedWatch tool.
GBP/USD extends the decline from the monthly high (1.3045), pulling the Relative Strength Index (RSI) back from overbought territory. It found support after briefly easing below 1.29 and may track the positive slope in the 100-period SMA.
For the exact date and time of these major economic events, import the BlackBull Markets Economic Calendar to receive alerts directly in your email inbox.
