Forex. GBP/USD forecast for today - 1.3700
The British Pound rose against the US Dollar to 1.3780.
A combination of factors helped the quotes regain some positive momentum after the release of strong UK macroeconomic data. The Office for National Statistics reported that the country's economy grew by 1.3% in the fourth quarter of 2020. This was slightly higher than previously forecast and helped offset the UK's widening current account deficit, which almost doubled to 26.3 billion pounds. Also, buyers of the dollar recorded profits from four-month highs. This was seen as another factor that provided an additional boost to the quotes. At the same time, the optimistic economic outlook for the US economy should limit the pullback of the dollar and the growth of risky assets.
Rabobank analysts note that the pound will continue to experience difficulties against the US dollar, but will maintain its position against low-yielding G10 currencies such as the Swiss franc, yen and euro. Despite the optimism of the Bank of England's chief economist, Andy Haldane, who predicted a rapid recovery in the country's economy, the reality is unlikely to be so smooth. There are still concerns about the impact on the labor market. In addition, the slow reduction of restrictions can become an obstacle to consumer activity. A low rise in inflation is likely to trigger a response from the Bank of England.
In the forecast, I assume a decline in GBP/USD to the level 1.3700.