GBP/USD consolidates during the North American session on Monday, remaining steady at around 1.3150 amid growing speculation that the US government shutdown might end soon, a tailwind for the US Dollar (USD), which trimmed some earlier losses.
💡 DMK Insight
GBP/USD’s stability around 1.3150 signals a critical moment for traders: With the US government shutdown rumors swirling, the potential for a resolution could strengthen the USD further. If the dollar gains traction, it might pressure GBP/USD lower, especially if it breaks below key support levels. Traders should keep an eye on the 1.3100 mark; a breach could trigger a wave of selling. Conversely, if the shutdown drags on, the pound might find support, leading to a potential bounce back. Look for volatility spikes as market sentiment shifts. The interplay between US fiscal policy and UK economic indicators will be crucial. If the USD strengthens, it could also impact related pairs like EUR/USD and AUD/USD, so monitoring those correlations could provide additional insights into market movements.
📮 Takeaway
Watch for GBP/USD to test the 1.3100 support level; a break could signal further downside for the pair.






