After yesterday's collapse caused by inflation data, the pound will be given a chance to improve somewhat its position today. The growth of retail sales forecast is to accelerate from 1.5% to 2.0%, which to some extent compensates the decline in inflation. At the same time, the United States is expected to reduce by 26,000, the number of applications for unemployment benefits. Reduction of long-term unemployment is much more important for the state of the labor market. However, the pound was somewhat oversold after yesterday's events and the general geopolitical situation is pressing on the dollar. Hence, positive news from the U.S. can be ignored.
The GBP/USD currency pair showed us a high volatility yesterday, dropping down to the value of 1.4172. It is possible to assume that the descending mood is still preserved, but before the next move, a rollback towards 1.4250 is possible.
