• GBP/USD climbs as soft US jobless claims data weakens Greenback.
• UK inflation above 3% reduces odds of aggressive BoE rate cuts.
• Traders eye Fed speakers and potential US-China trade deal signals.

The Pound Sterling climbs against the Greenback and crosses the 1.2600 figure on Thursday, with traders awaiting the release of UK Retail Sales data. Meanwhile, a soft US jobs report weakened the US Dollar. The GBP/USD trades at 1.2616, up 0.25%.
 

Sterling gains 0.25% ahead of UK Retail Sales release

Cable failed to rally on Wednesday as inflation rose above 3% in January, weakening the case for further interest rate cuts by the Bank of England. Meanwhile, US President Donald Trump's tariffs rhetoric continues.

Developments in the Russia – Ukraine conflict continued to grab the headlines as Trump called Ukrainian President Volodymyr Zelenskiy a dictator, who questioned discussions of a ceasefire held between Russia and the US in Saudi Arabia.

Market participants cheered the chance of a new trade deal between the US and China. Trump said, “it’s possible,” adding that Chinese President Xi Jinping to visit the US but failed to provide a date.

Data-wise, the US economic docket featured the release of US Initial Jobless Claims for the week ending February 15, which came at 219K, up from 214K, exceeding forecasts of 215.

Ahead in the day, GBP/USD traders would eye Fed speakers. Chicago’s Fed Austan Goolsbee, St. Louis Fed Alberto Musalem, and Governors Michale Barr and Adriana Kugler would cross the wires.
 

GBP/USD Price Forecast: Technical outlook

The GBP/USD is neutral to slightly upward biased after registering a successive series of higher highs and higher lows, alongside strong bullish momentum, as depicted by the Relative Strength Index (RSI). However, if buyers want to regain control, they must clear the 100-day Simple Moving Average (SMA) at 1.2664, followed by the 200-day SMA at 1.2787.

On the other hand, if sellers drag the exchange rate below 1.2600, the trend could turn downwards if they surpass 1.2500, followed by the 50-day SMA at 1.2461.

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