GBP Rises on Fed Decision Nerves
The British Pound (GBP) made gains against the US Dollar (USD) on Wednesday, trading around 1.3300 during Asian hours.
This follows a flat day on Tuesday when the GBP/USD pair remained within a tight range of 40 pips between 1.3250 and 1.3300.
The Pound is waiting for the outcome of the Federal Reserve's (Fed) policy decision, which is expected to leave interest rates unchanged but has an unusually high 30.5% chance of an immediate rate hike.
Markets are factoring in a 76.6% probability of a rate increase in September, signaling that borrowing costs will remain elevated for longer.
US President Donald Trump recently weighed in on the Fed's decision, stating that Chairman Kevin Warsh should lower interest rates due to recent inflation data and falling costs.