Trades at the highest level since December 31
The GBPUSD is testing (and now moving above) the August high of 1.32665. The high price just moved above that level at 1.32835. That high just tested the December 31 high price at 1.32833. The price stalled on the 1st look, but the pressure remains for a break. The dollar is is selling off in reaction to Fed Powell's move toward "inflation averaging over time" as the Fed target. This implies that the Fed will remain on hold for a longer period time.
A move above that level would next target the highs going back to February and March 2019 target 1.33496 and 1.33795 (not shown) before the December 2019 high price at 1.35139. The.
In other markets just ahead of the US stock market opening shows:
- S&P index up 10 points
- Dow up 104 points
- NASDAQ up 45 points
- spot gold is trading up $9.85 or 0.5% $1964.36
- spot silver is up $0.21 or 0.78% $27.72
- WTI crude oil futures are trading down $0.04 or -0.9% at $43.35
- 2 year yields are trading at 0.140%, -0.9 basis points
- 10 year yields are trading at 0.665%, -2.2 basis points