GBP/USD steadies around 1.3300, edging lower for a fourth day while markets digest the UK Autumn Budget and await the Fed’s policy call.

The British pound slipped for the fourth straight session, down about 0.02% against the US dollar, as traders balance the UK’s new Autumn Budget against the upcoming Federal Reserve policy decision. GBP/USD hovered near 1.3300, showing little movement despite heightened geopolitical tension in the Middle East.

UK Budget Emphasises Fiscal Discipline

Finance Minister John Healey framed the budget as a plan built on fiscal discipline, promising immediate action and a clear long‑term direction. He cited the Office for Budget Responsibility’s note that the war in the Middle East complicates economic forecasts, but said the budget puts Britain on track to erase the current deficit and return public finances to the black within three years.

Fed Decision Dominates Global Sentiment

In the United States, the market is focused on the Federal Reserve’s meeting. Money markets assign roughly a 91% probability that Chair Jerome Powell will hold rates steady, though the post‑meeting press conference will be scrutinised for forward guidance. Swaps pricing suggests a 21‑basis‑point hike in December is priced in with an 85% likelihood, according to Prime Terminal.

Technical Outlook for GBP/USD

• Current price: 1.3303, below a cluster of 50‑, 100‑ and 200‑day SMAs near 1.3390
• Immediate resistance: 1.3360 (broken upward trend line) and 1.3390 (SMA confluence)
• Support zones: 1.3255 (repurposed downward trend line) and lower lows if breached
• RSI around 48, indicating fading bullish momentum

Traders will watch for a daily close above the 1.3390 SMA cluster to relieve downside pressure. A break below 1.3255 could open a path toward earlier lows, while upcoming US Q3 GDP and Core PCE data may add further direction before month‑end.

Related news

• Jeff Gundlach questions Fed's rate pause on CNBC
• Fed holds rates steady, bitcoin barely moves as December hike looms
• Gold slips toward $4,000 as oil above $100 clouds Fed outlook
• Obr downgrades uk growth forecast for 2027 despite healey budget

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This article is compiled from international market news for information only. It is not investment advice.