Will the pound hit $1.40 in 2026? Sterling outlook explained

Описание: Pound vs dollar 2026:

CURRENT: ~$1.33
TARGET: $1.35-$1.40 (if conditions align)

THE BULL CASE:
✓ Fed cuts faster than BoE
✓ Dollar weakens as US rates fall
✓ UK deficit smaller than US
✓ Stable UK government vs messy US midterms

THE RISKS:
✗ Fed cutting due to US recession = Dollar strength (safe haven)
✗ BoE forced to cut aggressively while inflation persists
✗ UK growth remains weak

VERDICT:
"Pieces are there, but they all need to fall into place"
Not guaranteed. Conditional on Fed/BoE divergence holding.

#GBPUSD #PoundDollar #Sterling #ForexOutlook #BankOfEngland #FederalReserve #2026Forecast

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