GBP/USD Steadies Amid Jackson Hole Expectations

The GBP/USD pair has steadied around 1.3590 during the early European session on Friday, according to recent data from FXStreet.

This stability comes as traders have pared expectations for an interest rate hike by the Bank of England (BoE) this year and shifted their attention to the annual symposium on monetary policy at Jackson Hole in the US later on Friday.

Traders are awaiting Federal Reserve Chair Kevin Warsh's speech at the Jackson Hole symposium for clues on his policy outlook. This event could provide more clarity on his outlook for the US economy, interest rate outlook, and how the US central bank will bring inflation back to the Fed’s 2% target.

The Bank of England is now expected to hike interest rates by 24.7 basis points by December, down from expectations of a 25-bp hike this year, according to LSEG data.