Post #16241

GBP/USD Analysis: Leadership Turmoil Caps Pound Growth GBP/USD is trading below the 1.3550–1.3600 resistance zone that has defined the upper boundary of recent price action. The political dimension has become a material factor. Health Secretary Streeting's resignation and anticipated leadership challenge against Starmer, combined with Labour's losses in last week's local elections, has introduced a layer of domestic uncertainty weighing on sterling. The economic data presents a counterweight. Q1 GDP expanded 0.6% with annual growth reaching 1.1% — above expectations. BoE's Breeden indicated rate hikes could wait until later this year, characterizing the Middle East conflict as less inflationary than 2022. Sterling is caught between resilient growth and political instability. The 1.3550–1.3600 resistance zone remains the technical inflection point — reclaiming it likely requires resolution of the political overhang. read the full article here. — Alan