The currency pair climbs 0.30% amid optimism over progress in US-Iran talks, easing oil-driven inflation concerns for Japan.
GBP/JPY advanced to 214.52, gaining 0.30% on Monday as improved risk appetite lifted the British Pound against the Japanese Yen. The move follows reports of progress in US-Iran negotiations, which raised hopes for a temporary agreement to reopen the Strait of Hormuz.
Despite lingering hurdles over Iran’s nuclear program and sanctions relief, diplomatic efforts fueled cautious optimism. Oil prices dipped on the news, reducing fears of an energy-driven inflation shock, though levels remain elevated above pre-war benchmarks. Japan’s import-dependent economy continues to face pressure from higher energy costs.
Technical indicators show the pair holding above key moving averages, with a bullish bias near the 214.50 resistance level. The RSI at 56 and positive MACD suggest sustained upward momentum.