GBP/USD near session lows with very important UK inflation data due out shortly

Yesterday the rebound in the dollar sent the Pound lower and it later closed well below the 1.32 handle it had reclaimed yesterday, when rising above 1.3225. The GBP/USD closed last night at 1.3161. The other driver for that lower close was a rebound in the EUR/GBP to above 0.8450. The GBP/USD is currently trading below where it closed last night, as the latest UK inflation data looms. That is due out at 6am GMT and it is important. The fact that the Pound is lower this morning, when higher CPI data is expected today does allow for some upside though, especially if the data is well above expectations. As far as that is concerned, the markets are generally expecting an increase in the annualised rate of CPI- from 3.3% in July, to 3.5% in August. There will be more detail to follow on that and the August RPI numbers too, when the data is released shortly. Meantime, the GBP/USD is currently trading at 1.3157