Pound-to-Dollar Rate Today: GBP Gains Ground on Risk-On Flows

July 22, 2025 - Written by David Woodsmith

STORY LINK Pound-to-Dollar Rate Today: GBP Gains Ground on Risk-On Flows

The Pound US Dollar exchange rate climbed on Monday, buoyed by a cherry market mood, despite a lack of fresh economic data from either the UK or the US.

At the time of writing, GBP/USD was trading at approximately $1.3448, up roughly 0.3% from the start of Monday’s session.

The US Dollar (USD) faced pressure at the start of the week, weakening against most major currencies despite a quiet economic calendar.

A broadly upbeat market mood dented demand for the safe-haven currency, leaving the ‘Greenback’ on the back foot throughout Monday’s session.

Additionally, lingering fallout from comments made by President Donald Trump further weighed on USD sentiment.

Trump’s criticism of Federal Reserve Chair Jerome Powell last week, calling him ‘truly one of my worst appointments’, reignited concerns over the Fed’s independence, adding to the Dollar’s downside.

The Pound (GBP) edged higher against a number of its major counterparts on Monday, despite the absence of any high-impact UK economic data.


Support for Sterling stemmed from a pullback in Bank of England (BoE) interest rate cut bets, following last week’s hotter-than-expected inflation figures and better-than-forecast labour market data.

These developments helped temper expectations for an immediate shift in monetary policy.

Meanwhile, an overall upbeat market mood boosted appetite for riskier assets, giving the increasingly risk-sensitive Pound an extra leg up as the new week got underway.

Looking to Tuesday, the GBP/USD exchange rate may remain sensitive to broader sentiment cues, with economic data still absent from both the UK and US calendars.

A key focus for markets will be a speech from Federal Reserve Chair Jerome Powell.

Should Powell strike a dovish tone or respond to recent political tensions, particularly Donald Trump’s criticism of his leadership, the US Dollar could extend its recent decline.

In the meantime, with no fresh UK data to offer direction, the Pound is likely to be guided by risk appetite.


As such, broader market mood could continue to play a leading role in shaping GBP movement as the week progresses.

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TAGS: Pound Dollar Forecasts