Forex analysis - 2025-03-26 (19:52)

Forex data GBP/USD
Date : 2025-03-26
Opening : 1.29450
Higher up: 1.29490
Below: 1.29398
Closing : 1.29430

Economic news :
GBP/USD Slides as UK Inflation Weakens, Traders Eye 1.2800 Support
Futures Rise As Tariff Uncertainty Grows Ahead Of Liberation Day
ForexLive European FX news wrap: Sterling eases on lower UK inflation

Detailed analysis:
Our analysis of the Forex market for the GBP/USD pair on 26 March 2025 presents a number of factors to consider in order to understand current movements and anticipate future trends.

### Current trend :
The GBP/USD pair is showing a slight fall, as can be seen from the price movement between the open at 1.29450 and the close at 1.29430. Although the variation is modest, it indicates downward pressure on sterling against the US dollar.

### Impact of economic news :
1. **Low UK inflation:** Falling UK inflation is a key factor influencing GBP/USD. Lower than expected inflation may prompt the Bank of England to maintain or cut interest rates, making sterling less attractive to investors seeking higher yields. This puts downward pressure on the GBP.

2. **Tariff uncertainty ahead of Liberation Day:** Uncertainty over trade tariffs may create risk aversion in global markets. Investors could turn to safe-haven assets such as the US dollar, which could strengthen the USD against the GBP.

3. **European market reaction:** ForexLive's report on sterling's decline due to lower inflation is contributing to the negative perception of the GBP on the European market, reinforcing the bearish trend.

### Short-term forecasts :
- Bearish scenario:** If inflationary pressures remain weak and trade uncertainty persists, GBP/USD could continue to fall, potentially testing support at 1.2800. A breach of this level could accelerate the decline, attracting more sellers.

- Bullish scenario:** However, if positive economic data emerges from the UK or if trade uncertainty eases, sterling could regain ground. A recovery above 1.2950 could signal a short-term trend reversal.

### Conclusion :
The GBP/USD pair is currently under pressure due to weak inflation in the UK and global trade uncertainty. Investors need to keep an eye on upcoming economic announcements and developments on the trade front to adjust their positions. The key will be to monitor critical support and resistance levels to anticipate future moves.