GBP/USD Exchange Rate Holds Near Lows Amid Hawkish Fed Hike
The Pound US Dollar (GBP/USD) exchange rate held steady near recent lows on September 16 after the Federal Reserve raised interest rates by 25 basis points.
GBP/USD was trading at around $1.3470, showing little change from earlier in the session.
The Fed's decision to raise its benchmark interest rate to 3.75%-4.00% was seen as hawkish, with policymakers signaling another quarter-point increase is likely before the end of the year.
Fed Chair Kevin Warsh stressed that inflation remains too high and underlying price trends have not improved sufficiently, supporting expectations for further tightening.