Pound Sterling (GBP) is trading marginally higher against the USD on the session but Cable remains well below yesterday’s intraday high and the lack of new factors driving UK markets this morning suggests limited scope for gains to extend, Scotiabank's Chief FX Strategist Shaun Osborne notes.

GBP little changed on the day

"PM Starmer’s visit to Washington will be watched, however. Ukraine and broader security issues are top of the agenda but trade will also figure in talks."

"Sterling edged above 1.27 yesterday but failed to hold gains, closing back close to the day’s opening levels. The pattern of trade suggests the GBP’s recent rally may be stalling above the 100-day MA (support now at 1.2633). Underlying trends remain bullish, however, and a renewed push above 1.27 and through yesterday’s 1.2716 high will refresh the uptrend relatively easily."