Sterling rose 0.10% to $1.3406 and the euro edged up 0.02% to $1.1235 as investors trimmed long dollar positions amid a pullback in U.S. tech stocks and lower Treasury yields. ING's Chris Turner said crowded positioning in U.S. tech and the dollar is being pared back, but the dollar is unlikely to fall broadly while the short end of the U.S. yield curve remains firm. Markets expect the Fed, led by Chair Kevin Warsh, to keep rates unchanged at its Oct. 27-28 meeting, while persistent UK inflation data supports expectations of a Bank of England rate hike in November. The ECB is expected to hold rates at its Oct. 29 meeting. ING forecasts EUR/USD to stay capped, with a one-month target of $1.1300, and says a break above $1.1270/75 is needed to reach $1.1340/50.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Keywords
pound sterlingexchange ratestech stocks
Open a keyword to see other news on the same topic.
Related tickers and likely impact
DXY
▼ Likely negativeRelevance: low
| Market | Currencies |
|---|---|
| Close on 10/21/2026 | 101.70 |
| Change that session | 0.00% |
GBP/USD
▲ Likely positiveRelevance: low
| Market | Currencies |
|---|---|
| Close on 10/21/2026 | 1.33943 |
| Change that session | +0.11% |
Impact is scored by AI from the headline and may be wrong. It is not investment advice.
Related news
- ECB Fixing Shows Euro Down 0.24% Against Pound on Oct. 21
The European Central Bank's daily reference rate put the euro at 0.83825 pounds on 21 October, down from 0.84028 the previous day, a decline of about 0.24%; the figure is a once-daily value, not a live rate. The move came as UK annual CPI inflation rose to 3.5% in September from 3.1% in August, with motor fuel prices up 29.8% year on year and core CPI at 2.8%. FXStreet reported EUR/GBP near 0.8390 in early European trading and said a Bank of England rate increase at its next meeting was widely expected, though those intraday observations come from a different time. The BoE held Bank Rate at 3.75% at its September meeting, with Megan Greene, Catherine Mann and Huw Pill preferring a rise to 4%, and its next decision is due on 5 November.
- EURGBP Hits New Multi-Month Low - ActionForex
- Pound to Dollar Forecast : AI Bubble Fears Threaten USD Strength
GBP/USD has held above 1.3300, close to 4-week highs, as worries about a possible correction in US tech and AI stocks undermine confidence in the dollar. Foreign investors bought USD942 billion of US equities and USD452 billion of US corporate bonds in the twelve months to July, so the dollar is tied to US market returns and could reverse if AI sentiment deteriorates. Markets price less than a 20% chance of a Fed hike in October but just over 90% for December, while ING warns that stock market turmoil could sharply reduce Fed tightening plans. Scotiabank expects a retest of 1.3650/75 in coming weeks, with initial resistance at 1.3435 (200-day MA), and UoB sees gains to 1.3405. HSBC and BBH, however, flag sterling risks from potentially longer-restrictive US rates, fragile UK growth and a BoE that may not need to tighten as much as markets expect.
- British Pound - to - Euro Forecast : French Riots Push GBP Above 1 . 19
GBP/EUR spiked to fresh 16-month highs just above 1.19 after violent French protests triggered euro selling, before easing to around 1.1880. Consensus expects UK headline inflation to rise to 3.4% from 3.1% and core inflation to 2.8% from 2.6%, and strong expectations point to a Bank of England rate increase to 4.00% at its November meeting. Bank of America's Sonali Punhani argues the bigger pickup in inflation is still ahead, while weaker-than-expected data would raise doubts about a hike. Deutsche Bank, ING and MUFG highlight France's political and fiscal risks, with MUFG noting that the probability of RN leader Le Pen becoming president has risen to around 48% on Polymarket and expecting these risks to weigh on the euro into next year. Investors are also watching the UK jobs report on Tuesday and inflation data on Wednesday.
- GBPUSD Technicals : The price extends gains and moves above the 100 day MA in the process
- Sterling today: Pound edges up as dollar consolidates
Sterling rose on Tuesday, with GBP/USD up 0.35% to $1.3352 and EUR/USD up 0.19% to $1.1233, as the dollar consolidated in quiet trading. ING's Chris Turner said energy prices and French fiscal risks remain unresolved, and expects the DXY dollar index to find support at 101.50/60. He named Coreweave's 2032 bond, trading at 80 cents on the dollar, as the main threat to dollar strength. In the UK, unemployment fell to 4.7% in the three months to August, below the 4.9% forecast, but vacancies fell 2.9% to 691,000 and pay growth slowed to 3.7%, so sterling's gain looked driven more by dollar softness than UK fundamentals.
Related markets
Latest news
- Bank Profits Surge
The 9-month 2026 results show many banks continued to grow profits, with some posting record quarterly earnings. VPBank's pre-tax profit reached nearly VND 30,000 billion, up nearly 47%, equal to its full-year 2025 result and about 72.4% of its 2026 plan; Q3 pre-tax profit topped VND 11,000 billion. Techcombank posted VND 28,900 billion (up 23.7%), while LPBank reported VND 10,421 billion (up nearly 9%). SSI forecasts pre-tax profit of its monitored banks to rise 19.5% in 2026 before slowing to 15.4% in 2027, pressured by narrowing net interest margins and rising credit risk provisions. It also expects system-wide credit growth of 16-17% in 2027 and 17.9% for the monitored banks.
- World's Largest Gold Fund Dumps Over 10 Tonnes of Gold as Prices Slide
SPDR Gold Trust, the world's largest gold fund, continued net selling of nearly 12 tonnes of gold in the 22/10 session, bringing total sales over 2 sessions to nearly 15 tonnes and cutting its holdings to about 1,046 tonnes. Spot gold fell more than 2.8% to around USD 4,025 per ounce at the close of 22/10, and briefly dipped below USD 4,000 per ounce in the morning session of 23/10. Tensions in the Middle East pushed crude oil prices higher, raising concerns about inflation and further Fed tightening, and gold has still not attracted sustained safe-haven demand even as US Treasury yields fell. US September CPI rose 0.6% month on month and 3.7% year on year, while PPI rose 1.3% and 6.3%. Markets price about an 84% chance the Fed holds rates steady at its 27-28/10 meeting and a 16% chance of a 25 basis-point increase; September PCE data due on 29/10 is the next key factor to watch.
- Gold Prices Continue to Fall
On the morning of 23/10, domestic gold prices kept falling, with SJC bar prices varying by seller and the premium over world gold widening. Công ty TNHH Vàng bạc đá quý Sài Gòn listed SJC bars at VND 139-142 million per tael (buy-sell), down VND 300,000; Phú Quý was at VND 138-141.8 million, down VND 500,000; and Mi Hồng at VND 140-141.5 million, down VND 800,000. Gold rings also fell by varying amounts, with DOJI at VND 138-142 million and Phú Quý at VND 138-141 million per tael. World gold dropped USD 129 to around USD 3,992 per ounce, equal to about VND 125.3 million per tael, leaving SJC bars about VND 16.7 million per tael above the world price. The State Bank's central rate was set at 25,627 VND/USD, down 5 dong, while Vietcombank quoted 25,660-26,040 VND/USD (buy-sell).
- Company Linked to Billionaire Pham Nhat Vuong Announces Major Good News
VEFAC (ticker VEF), a Vingroup subsidiary, posted Q3 net revenue of nearly VND 77 billion, up 67% year on year, but a gross loss of about VND 27 billion as cost of sales from its exhibition business exceeded revenue. Q3 profit rose mainly thanks to a gross gain of about VND 65 billion from transferring some schools in a project to a partner, while financial income reached over VND 388 billion, mostly from loan and investment income. For the first nine months of 2026, after-tax profit was nearly VND 865 billion, down about 94% from VND 15,418 billion in the same period of 2025, as the prior year included large gains from transferring part of the Vinhomes Global Gate project. As of 30/9/2026, total assets stood at over VND 31,905 billion, up 36% from the start of the year, while total liabilities exceeded VND 24,364 billion, with short-term customer advances rising from VND 411 billion to over VND 8,373 billion.
- Lotte and Phat Dat Officially Break Ground on VND 60,000 Billion Mega Project in Thu Thiem 'Golden Land'
A joint venture between Lotte Group (South Korea) and Phát Đạt (HoSE: PDR) officially broke ground on 23/10 on Lotte Eco Smart City Thu Thiem in the Thu Thiem New Urban Area, HCMC, with total investment of about VND 60,000 billion. The project covers nearly 7.5 ha and will combine Grade A offices, retail, services, accommodation and housing, adjoining the central plaza and central lake of Thu Thiem. Phát Đạt holds 35% of Lotte Properties HCMC, the project developer, and will develop the housing blocks along with two towers (2-1 and 2-3) with about 219,722 m2 of floor area, while Lotte handles block 2-5. Lotte Properties HCMC paid VND 17,569 billion in land-use fees on 31/7/2026, and Phát Đạt completed its VND 7,666 billion payment to take its 35% stake. MB is funding all of Phát Đạt's capital contribution, while VietinBank and BIDV also support the project.
- International Business : Global stocks nosedive as Meta dents AI optimism
Global stocks retreated as tech earnings failed to ease concerns about the AI outlook, with MSCI's All-World index set for its largest daily fall in two weeks, down 0.4 per cent. Meta beat third-quarter revenue expectations, but its plan to issue non-voting stock revived worries about its mounting capital commitments, and a New Mexico judge ordered it to pay a $25 billion penalty in a data privacy case. Brent crude rose nearly 3% to $112 a barrel, near a five-month high, after more Houthi attacks in Saudi Arabia raised supply risks. Investors moved into government bonds, pushing the US 10-year yield down to 5.05%, below France's for the first time in 13 years, while French yields have climbed above 5% amid concerns over social unrest and debt. The France-Germany 10-year spread reached 177.7 basis points, its widest since 2011, while gold fell 1.8% to $4,070 an ounce.
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.