GBP/USD has recently hit a low of 1.2050. Economists at Deutsche Bank forecast the pair at 1.20 on a one-year view.

Market expectations of UK interest rate hikes could be too high

“The continued rise in inflation rates in connection with already slowing economic growth is generating headwinds for the GBP and concerns for the Bank of England.”

“Market expectations of UK interest rate hikes could be too high.” 

“GBP/USD is forecast at 1.20 in June 2023.”