The pound edged up against the dollar and euro after UK inflation came in hotter than expected, with CPI rising to 3.5% from 3.1% in August, above the 3.4% forecast by economists polled by Reuters. The reading cemented bets on a Bank of England rate hike next month, with traders nearly fully pricing in a 25-basis-point increase in November and four hikes expected by mid-next year. Sterling was last up 0.1% at $1.339 and rose 0.2% against the euro to its strongest in 17 months, while the euro weakened as France faces anti-government protests and a worsening fiscal outlook that has pushed its 10-year borrowing costs toward 24-year highs. Attention now turns to British finance minister John Healey’s first budget, due next week.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on kitco.com ↗
Keywords
pound sterlingGBPUSDUS dollarinflation
Open a keyword to see other news on the same topic.
Related tickers and likely impact
GBP/USD
▲ Likely positiveRelevance: high
| Market | Currencies |
|---|---|
| Close on 10/20/2026 | 1.33800 |
| Change that session | +0.57% |
DXY
▼ Likely negativeRelevance: low
| Market | Currencies |
|---|---|
| Close on 10/20/2026 | 101.70 |
| Change that session | -0.28% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- Sterling today: Pound climbs on hot UK CPI as dollar weakens
Sterling rose 0.07% against the dollar to 1.3392 and the euro fell 0.19% to 1.1215 at 05:10 ET after UK September inflation came in hotter than expected at 3.5%, alongside a weaker dollar and falling oil prices. Core services inflation of 3.7% reinforces expectations for a Bank of England rate hike in November. ING analysts, however, said the pound's strength is driven mainly by dollar weakness rather than domestic momentum, with the upcoming budget still a key watchpoint. For the euro, the 10-year OAT-Bund spread widened to 157 basis points ahead of Friday's Moody's credit rating review. Fed Governor Christopher Waller signaled openness to further tightening if the data warrants it.
- GBPUSD Technicals : The price extends gains and moves above the 100 day MA in the process
- GBP / USD Rebounds on Dollar Weakness , but EUR / GBP and GBP / CHF Hold the Sterling Verdict
- Pound - to - Dollar Forecast : GBP / USD Bounces as US Treasury Yields Retreat
GBP/USD rebounded toward 1.3250 after dropping to a 16-week low near 1.3160 following hotter-than-expected U.S. inflation data. Sterling was helped by UK GDP rising 0.1% in August against expectations of a 0.1% contraction, and by a pullback in U.S. Treasury yields that let the dollar give back part of its post-CPI gains. U.S. CPI rose 3.7% year on year in September, with core inflation at 2.6%, lifting expectations of another Fed hike; ING expects that move in December, while MUFG doubts the two further hikes priced by markets. UoB said GBP must hold above 1.3230 to sustain the recovery, with the 2026 low around 1.3140 a key downside level.
- Interest rate hike firmly on table after inflation rises to 11 - month high
- Interest rate hike firmly on the table after inflation rises to 11-month high
Related markets
Latest news
- Meta’s (NASDAQ:META) Q3 2026 sales top estimates, quarterly revenue guidance slightly exceeds expectations
Meta Platforms (NASDAQ: META) reported Q3 revenue of $64.6 billion, up 26.1% year on year and about 2% above estimates. Revenue guidance for the Q4 midpoint is $74.5 billion, 1.2% above analyst expectations. GAAP EPS of $3.83 was 29.9% below consensus, due to a $9.89 billion charge tied to an agreement with 52 attorneys general to resolve teen mental health litigation, with payments of up to about $18.59 billion; excluding it, EPS would have been $7.40. Operating margin fell to 20.1% from 40.1%, and free cash flow was -$2.12 billion. Daily active people reached 3.64 billion, up 100 million year on year.
- A SpaceX-Tesla megamerger could benefit both companies and Elon Musk's personal fortune
SpaceX shares rose 8% and Tesla 3.5% after Elon Musk said each company had formed special committees to discuss a possible combination. At current market values, the merged company would be worth about $3.5 trillion, the largest deal ever, and Musk argues it makes sense because both businesses rely heavily on artificial intelligence. Musk owns 11% of SpaceX and 19% of Tesla, and a change-in-control provision in Tesla's pay plan could treat many performance targets as met in a merger, which would make him richer. Although the shares are very expensive by most measures, most analysts still call them a bargain, and many work for banks hoping to win Musk's business. Democrats have called for investigations into SpaceX's federal contracts and could scuttle plans if they win big in next month's midterm elections.
- Netflix Is Down 38% Since Completing Its 10-For-1 Stock Split. Here's Why the Sell-Off Is Worsening After Its Latest Earnings.
Netflix shares are down 37.9% since the 10-for-1 stock split was completed on November 17, 2025, as of the October 20 close. After its third-quarter 2026 report, the stock fell 5.9% to $64.62 in after-hours trading, which would mark a new two-year low. Revenue rose 11.8% year over year, and operating margin widened from 28.2% to 34.6%, but the company now expects $2.7 billion in full-year ad revenue, down from $3 billion, due to a slower rollout of ad product capabilities. Its 2026 revenue forecast of $51.1 billion sits 0.2% below the prior midpoint, and the article also points to competition from YouTube, a third price increase in under three years, and a valuation of 17 times 2027 earnings. Netflix ended the quarter with $8.19 billion in cash against $12.66 billion in long-term debt.
- Where Will Novo Stock Be in 10 Years?
Novo, a Denmark-based pharmaceutical company, reached an all-time high in 2024 but has since faced clinical and commercial setbacks and lost substantial market value over the past two years. Its diabetes products, including Ozempic and Rybelsus, and its obesity drug Wegovy remain core, but U.S. patents on the active ingredient in these drugs expire in 2032, potentially opening the door to cheaper generics. Near-term catalysts include CagriSema, which could be approved by year-end and combines semaglutide with cagrilintide, though it fell short of the 25% mean weight loss Novo had hoped for. The pipeline also includes amycretin, UBT251, and several oral weight loss candidates. The author sees the pipeline as deep but warns of rising competition from dozens of weight-loss drugs, slower market growth, and possible U.S. drug price negotiations.
- NextEra Energy ( NEE ) Q3 2026 Earnings Call Transcript
NextEra Energy reported third-quarter adjusted earnings per share of $1.24, up 9.7% year over year. Florida Power & Light's net income reached $1.62 billion, versus $1.463 billion a year earlier, while adjusted earnings at NextEra Energy Resources rose 13% to $1.247 billion. The renewables and storage backlog reached 36.7 gigawatts, and FPL raised its large load target to 8 gigawatts by 2032. Shareholders have approved the pending combination with Dominion Energy, with state regulatory reviews expected to conclude in early 2027. Management maintained its 2026 adjusted earnings guidance and is targeting the high end of the range, even though wind generation in Q4 is projected to fall to 90% to 95% of the long-term average due to El Niño.
- Amazon logistics automation offers long-term margin gains, Jefferies says
Jefferies says Amazon's warehouse automation and expanding logistics network could lift retail margins long term by reducing labour dependence. Amazon has deployed over 1 million robots, but only 40% to 45% of its US small-sortable fulfillment centers are highly automated, leaving room for growth. A US$1 hourly wage rise would add about US$1.1 billion to costs, and Amazon has around US$27 billion of visible capex planned for automation and delivery. Jefferies sees third-party parcel delivery as a growth area, with US delivery stations possibly growing from about 575 to 950 by 2030 and early trials showing 20% to 25% savings for shippers. Grocery is harder given US$10 to US$12 delivery cost per order, though the broker sees potential in Amazon's planned Illinois hybrid retail concept expected in 2028.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.