GBP/USD outlook undermined by Middle East tensions boosting USD ahead of Fed and BoE

  • The GBP/USD outlook has become increasingly murky as geopolitical tensions in the Middle East concerns Iran, Israel, and now, the US, have helped to fuel a bit of a dollar recovery this week, while weakness in UK data has raises the probability of a BoE rate cut come August. Making things more interesting, both the Federal Reserve and Bank of England will be making their rate decisions within the next 24 hours or so.