GBP’s ongoing downward correction looks set to continue amid signs of cooling labor market conditions and price pressures. What is the outlook for GBP/USD, GBP/JPY, and GBP/AUD and the key levels to watch?
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Data released on Tuesday further reiterated the notable slowing of broader macro data since mid-August – the UK Economic Surprise Index has fallen sharply from mid-August. As a result, money markets believe UK interest rates have peaked, with the Bank of England expected to keep benchmark rates on hold when it meets next week.before the end of the year, even though a number of Fed officials have toned down the hawkish rhetoric this month.
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