Stronger-than-expected US inflation data lifts the USD, pressuring the GBP amid UK political instability.
GBP/USD fell 0.62% to 1.3525 on Tuesday as the US Dollar strengthened following higher-than-anticipated US inflation figures. The data fueled demand for the USD, overshadowing concerns over UK political turmoil.
The decline follows a period of relative stability for the pair, with recent sessions marked by cautious trading ahead of key economic releases. Market participants had expected a softer inflation print, which could have tempered USD gains.
No immediate market reaction details were provided, but the shift reflects broader risk sentiment and monetary policy expectations.