Pound to Dollar Forecast: 1.307 in Three Months

The big banks have raised their forecasts for the Pound against the Dollar into year-end.

Pound Sterling's decline against the Dollar is not a mere correction and looks set to run for at least half a year.

The Pound to Dollar exchange rate fell 2.0% last week and still looks heavy, but a limited rebound is possible in the coming days.

Year-to-date, the GBP/USD is up about 5.3%. While the potential to extend these gains is there, the cable is now less than 70 pips away from testing a key long-term resistance zone between 1.3500 and 1.4000.

The Pound to Dollar exchange rate can continue to advance in the coming days according to our Week Ahead Model. Fedspeak and U.S. payrolls are the fundamental risks to the positive setup.

Foreign exchange analysts at Goldman Sachs have raised their forecasts for Pound Sterling on account of ongoing economic resilience and a reasessment of the Dollar's outlook.

The British Pound extended its rally against the U.S. Dollar, but month-end flows and overbought conditions could prompt a pullback in the coming days.

The British Pound can continue to advance against the Dollar in the coming weeks, but the next few days could see some consolidation around current levels.

The Dollar will rebound if the Federal Reserve opts to stick with its guidance and cut interest rates by 25 basis points today, but strength will be shortlived according to one analysis.

The Pound to Dollar exchange rate could test the 2024 high at 1.3250 if the Federal Reserve cuts interest rates by 50 basis points this week.

We forecast further losses for the Pound against the Dollar in the coming week, but we think downside will be limited to 1.3036.

After a poor August, the Dollar has roared back into life and is pushing the Pound lower again. One currency payment specialist thinks GBP/USD could go below 1.30.

Pound Sterling's uptrend against the Dollar could experience a deeper setback this week if U.S. labour market data beat expectations.

The Dollar looks set to bounce back following a period of sustained losses, say strategists at HSBC, who think the Pound is particularly vulnerable.

Pound Sterling powered to fresh two-year highs at the end of last week, buoyed by the Federal Reserve's commitment to a September rate cut. But, the rally is looking stretched.

The Pound to Dollar exchange rate has rallied back strongly from its early August losses but the charts and bilateral economic fundamentals are aligned in suggesting that further gains could still be likely up ahead.

The Pound rose against all major currencies this week as it drew a line under prior losses but BofA Global Research says it can still rise further against the Dollar, Euro, Japanese Yen and Swiss Franc up ahead.

The Pound to Dollar exchange rate has steadied following a steep sell-off in late July and early August but there are multiple reasons for thinking it could have scope to recover further lost ground in the days ahead, with a retest of the 200-week average up around 1.2845 a credible prospect.

The Pound to Dollar exchange rate stabilised around one-month lows on Wednesday but it faces technical and fundamental headwinds that could complicate any attempt at recovery in the days and weeks ahead.

Pound Sterling has declined for three weeks in succession but ultimately clings onto a broadly constructive setup.