GBP/USD in mid range today as markets look forward to next week

There is no doubt the dollar has steadied since crumbling last week. That has seen the EUR/USD come off the boil and fall back from a high at 1.1573. The USD/JPY is well off its lows just underneath 140 and the GBP/USD has stalled just short of rising above 1.3434. The price action looks pretty pivotal around 1.33 so far today. The range has been set for now at 1.3280 and 1.3328. The thing about today is probably more about the spot month-end than it is anything else. As mentioned earlier, when looking at the FTSE 100, the push lower in UK yields is supporting that index as much as it has stalled the rise in the Pound versus the dollar. The Bank of England will meet next week, on May 8 to decide on its monetary policy. The consensus for that is skewed towards a 0.25% rate cut. The Fed is due to decide the evening before, at 6pm GMT and the consensus for that is no change from the Fed. So, if all that pans out as the markets currently expect, it could help to ensure that level at 1.3434 continues to cap the topside, as it has so far this year. We shall have to see on that. Meantime, the GBP/USD is currently trading at 1.3308