GBP/USD Hits One-Week Highs on Rising UK Yields

The Pound to Dollar exchange rate (GBP/USD) has risen to one-week highs around 1.3300, supported by another increase in UK yields while the Dollar struggled to advance.

This rise in yields is a key factor supporting Sterling, but there are still risks that it could trigger economic fears and lead to Pound losses.

New York Fed President Williams made relatively dovish comments, dampening expectations of two further Fed rate hikes this year, while MUFG noted that market pricing for almost four more hikes in the year ahead is excessive.