Pound Holds Steady Ahead of Crucial Q2 GDP Data Release

The British Pound is trading within a relatively tight band against the US Dollar, according to Scotiabank's FX strategy team.

This range-bound trade has been fueled by investors waiting for the release of the UK's second-quarter GDP figures.

A strong reading from the UK Q2 GDP report could reinforce the case for a more hawkish stance from the Bank of England, potentially underpinning the Pound.

Conversely, a weak print might increase speculation about a near-term rate cut, which could weigh on the currency.