GBP/USD climbed towards 1.2780 on Wednesday as rate cut hopes reignite. US data broadly missed the mark, signs of further softening mount. UK election on Thursday could introduce a fresh round of volatility. Thursday’s upcoming UK election will draw plenty of attention from Cable traders as US markets hunker down for the wait through Thursday’s market holiday.
In addition to the headline PMI, the Employment Index and the Prices Paid Index numbers are also watched closely by investors as they provide useful insights regarding the state of the labour market and inflation. GBP/USD technical outlook Cable has extended a near-term bullish rebound from a demand zone priced in below 1.2640, climbing towards 1.2780 on Wednesday and leaving bids adrift sharply above the 200-hour Exponential Moving Average at 1.2676.