The British Pound weakens against the US Dollar after the Federal Reserve’s hawkish pause and internal policy divisions.
GBP/USD fell to around 1.3450 in Asian trading on Friday, snapping a three-day winning streak. The decline follows a hawkish pause by the Federal Reserve, which bolstered the US Dollar amid internal policy splits within the FOMC.
Prior to the drop, the pair had gained ground earlier in the week, but the Fed’s stance shifted sentiment. The USD’s strength reflects market expectations of prolonged restrictive monetary policy, contrasting with recent GBP resilience.
No immediate market reaction data was provided, but the move underscores the Fed’s influence on currency pairs amid diverging central bank policies.