Anna 
European Session – London: The Pound Sterling (GBP) is making gains towards weekly highs in Thursday’s European session, driven by an overall positive market sentiment. The GBP/USD pair is advancing despite Bank of England (BoE) policymaker Swati Dhingra’s warning about downside risks to the UK economy arising from elevated interest rates.
During her speech at the Market News International Connect event on Wednesday, Dhingra expressed concerns about weak demand prospects, describing them as “weak and less resilient” compared to previous forecasts. She highlighted the impact of higher mortgage costs and rental prices in 2023, which she believes have constrained households’ spending, leading to subdued Retail Sales.
Typically, the Pound faces pressure from foreign outflows when a BoE policymaker signals the possibility of holding interest rates at higher levels for an extended period, as it raises the likelihood of future interest rate cuts.
Investors are now awaiting the release of February’s preliminary S&P Global PMI data for both the United Kingdom and the United States, seeking further insights into the economic outlook for these regions.
