Photo by Colin Watts on Unsplash 
 

GBP/USD remains bolstered on the high end as markets grind through the last trading week of the year. Cable caught a bullish tilt to keep price action on the high side of the 1.3500 handle, though year-end holiday volumes are unlikely to see significant progress in either direction as 2025 draws to a close.

The UK side of the economic data docket remains thin this week, leaving low-impact market flows in the driver’s seat. The Federal Reserve’s (Fed) latest Meeting Minutes will land on anemic markets on Tuesday, and will serve as a last glimpse at the Fed’s widening array of policy discussion before the calendar year wraps up.

Investors will be looking for signs of a dovish tilt in policymakers’ internal decision-making rhetoric. Fed officials hit a cautious tone with the latest dot plot update of interest rate expectations, with Federal Open Market Committee (FOMC) voting members expecting a total of two quarter-point interest rate cuts over the next two years. Rate market speculators are expecting the Fed to get bullied into more interest rate cuts, with rate traders pricing in two rate trims by September of 2026.\

GBP/USD daily chart
 

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