Learn / Market News / GBP/USD: Move back below 1.20 seems inevitable – SocGen

GBP/USD: Move back below 1.20 seems inevitable – SocGen

Kit Juckes, Chief Global FX Strategist at Société Générale, is worried about Sterling.

Sterling is only being held up by rate expectations

The more the market worries about the growth outlook in the UK, the more the prospect of further rate hikes beyond this week will a) fade away and b) scare investors. 

Sterling, even more perhaps than the Euro, is only being held up by rate expectations. This week’s data calendar might not be too bad for the Pound if Retail Sales and the Services PMI both bounce and core CPI remains at 6.9%. But at best, that will delay what seems an inevitable move by GBP/USD back below 1.20.


There is a high level of risk in Margined Transaction products, as Contract for Difference (CFDs) are complex instruments and come with a high risk of losing money rapidly due to the leverage. Trading CFDs may not be suitable for all traders as it could result in the loss of the total deposit or incur a negative balance; only use risk capital.

ATC Brokers Limited (United Kingdom) is authorised and regulated by the Financial Conduct Authority (FRN 591361).

ATC Brokers Limited (Cayman Islands) is authorised and regulated by the Cayman Islands Monetary Authority (FRN 1448274).

Prior to trading any CFD products, review all the terms and conditions and you should seek advice from an independent and suitably licensed financial advisor and ensure that you have the risk appetite, relevant experience and knowledge before you decide to trade. Under no circumstances shall ATC Brokers Limited have any liability to any person or entity for any loss or damage in whole or part cause by, resulting from, or relating to any transactions related to CFDs.

Information on this site is not directed at residents in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.

United States applicants will need to qualify as an Eligible Contract Participant as defined in the Commodity Exchange Act §1a(18), by the Commodity Futures Trading Commission for the application to be considered.

© 2023 ATC Brokers. All rights reserved