Sterling Partially Recovers from Weekly Losses Amid Dollar Pause

Sterling's losses from last week have been partially reversed on Friday as the dollar paused its climb, resulting in a rise of more than 0.18% against the US Dollar. The GBP/USD pair traded at 1.3243 after rebounding from an intraday low of 1.3209.

The market backdrop is influenced by higher energy prices linked to the Middle East conflict and firmer pricing of hawkish Federal Reserve policy through the rest of 2026.

Despite this, the Pound remains cautious against major peers, with sterling only marginally higher near 1.3220 in the European session.