British Pound Trades Sideways Despite the Positive UK GDP Data

The  British pound has traded in  a  wide range against the  US dollar during today’s session as  the  bears and  the  bulls fought for control over the  currency’s price direction. However, neither camp was winning after the  release of  positive UK quarterly GDP data accompanied by  disappointing public borrowing data.
The  GBP/USD currency pair today traded between a  high of  1.2698 and  a  low of  1.2642 as  the  sellers and  buyers fought for  control.
The  currency pair opened today’s session on  a  downward trend as  bears drove the  pair to  its daily lows. The  pair then rallied in  the  late Asian session and  into the  early European session as  buyers pushed the  pair higher. The  currency pair then declined following the  release of  the  disappointing UK public sector finances report by  the  Office for  National Statistics. The  public sector net borrowing figure came in  at   £6.3 billion, which was lower than the  expected £7.0 billion print, but higher than the  previous figure. The  final figures for  the  UK’s Q3 GDP growth estimates met expectations by  coming in  at  0.6%, which translated into an  annualized 1.5%, but could not lift the  pair.
The  currency pair’s gains were limited by  the  uncertainty towards Brexit as  well as  the  stronger US dollar. The  greenback rallied against its peers in  the  Asian session as  tracked by  the  US Dollar Index, which hit a  high of  96.64.
The  currency pair’s short-term performance is likely to  be influenced by  the  release of  US Q3 final GDP data later today.
The  GBP/USD currency pair was trading at  1.2667 as  at  11:32 GMT having dropped from a  high of  1.2698. The  GBP/JPY currency pair was trading at  140.81 having declined from a  high of  141.18.

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