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GBP Retreats Amidst Escalating US-Iran Tensions

Guavy AI Editorial Team Published September 2, 2026

Instruments

USD GBP

The Pound has retreated to levels near 1.3500 as the US Dollar gains strength in response to escalating tensions between the United States and Iran.

Middle East frictions are supporting safe-haven demand for the USD, while the British Pound feels pressure.

UOB strategists maintain a bearish outlook on the GBP, highlighting 1.3480 as a key downside level and 1.3600 as strong resistance.

The GBP/USD pair remains above the 100-day Simple Moving Average (SMA), preserving a modestly constructive technical backdrop.

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