GBP/USD rises amid trade uncertainty as SCOTUS blocks Trump's tariffs

💡 DMK Insight

GBP/USD’s 0.31% gain signals a shift in sentiment—here’s why that matters now: The Supreme Court’s rejection of Trump’s tariffs has eased some trade tensions, allowing the GBP to strengthen against the USD. This development comes at a time when the USD is already under pressure due to ongoing uncertainty surrounding US trade policies. For traders, this could mean a short-term bullish outlook for GBP/USD, especially if it breaks above recent resistance levels. Watch for the pair to test key levels around 1.30, which could trigger further buying if sustained. But don’t overlook the potential for volatility. If the market reacts negatively to any new trade developments or economic data releases, the USD could rebound sharply. Keep an eye on upcoming economic indicators, particularly those related to inflation and employment, as they could influence the Fed’s stance and, in turn, the USD’s strength. The real story is how quickly sentiment can shift, so be prepared for rapid moves in either direction.