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GBP/USD news for July 31, 2026

The Bank of England held interest rates at 3.75%, citing inflation fears and uncertainties from the US-Iran war, which has weighed on Britain’s economy. The British pound underperformed as traders pared back expectations for further rate hikes, and analysts noted limited policy support for the currency. These factors are keeping GBPUSD in focus amid broader dollar moves tied to intervention and geopolitical risks.

How the day unfolded

  1. The Bank of England held interest rates at 3.75%, citing uncertainty from the US-Iran war and lingering inflation concerns. Meanwhile, the US dollar weakened after soft US growth data, but the pound still fell against the dollar as GBP plunged amid suspected yen intervention, which created volatility in currency markets.

  2. The Bank of England held interest rates at 3.75%, citing inflation concerns and the economic impact of the Iran war. The British Pound also came under pressure amid suspected Yen intervention, while the US Dollar extended its sell-off following weak US growth data. These developments contributed to notable volatility in GBPUSD.

  3. The Bank of England held interest rates at 3.75%, citing the need to wait for the impact of the US-Iran war and mounting inflation fears, which has implications for Sterling. Meanwhile, the US Dollar has been under pressure following weak US growth data and suspected intervention in the Yen, affecting the GBPUSD pair. These monetary policy and geopolitical factors are currently driving market sentiment for the currency pair.

  4. The Bank of England left rates at 3.75%, citing the need to assess the impact of the US-Iran war, while inflation worries persist. This has led traders to scale back expectations for BoE hikes, with the Pound underperforming, and the dollar also softening amid intervention-related pressures.

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As of 22:35 UTC

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Not investment advice. For informational purposes only.