Here is what you need to know on Friday, May 10: The US Dollar delivers a modest recovery during the Asian session on Friday. However, the near-term appeal is still uncertain as higher-than-projected Initial Jobless Claims for the week ending May 3 indicated that the United States labor market is struggling to bear the burden of Federal Reserve’s restrictive policy framework.
GBP/USD holds’ Thursday’s gains slightly above 1.2500. The Cable covered BoE-led losses after a sharp fall in the US Dollar. The BoE kept borrowing rates steady at 5.25% as expected but its communication on the interest rate outlook was dovish. In the press conference, BoE Governor Andrew Bailey said the central bank could deliver more rate cuts that what market participants had anticipated.