The British pound edges higher against the dollar as traders await key US employment and services sector reports.
The GBP/USD pair climbed to 1.3455 in early European trading, supported by softer US economic data and reduced US-Iran geopolitical tensions. The move reflects cautious optimism ahead of today’s US ADP Employment and ISM Services PMI releases.
Markets expect the ADP report to provide insights into private-sector hiring, while the ISM Services PMI will gauge activity in the dominant US services sector. Both indicators could influence Federal Reserve policy expectations and dollar sentiment.
Traders are positioning for potential volatility, with the data likely to shape near-term currency movements and risk appetite.