Pound Sterling (GBP) is trading modestly higher, Scotiabank's Chief FX Strategist Shaun Osborne notes. 

PM Starmer to announce defence spending boost

"It’s a day of important speeches in the UK. PM Starmer is addressing parliament and he is expected to announce increased defence spending, just before he jets off to visit President Trump. BoE Economist Pill is also speaking (9.00ET). Pill commented earlier this month that lower rates are to be expected but the pace of declines would be slow."

"Cable continues to range trade around the 100-day MA (1.2641) but the sideways movement in price may be a consolidation ahead of another push higher towards 1.28. Support is 1.2600/10."