Pound to Dollar Rate Today: GBP Gains Ground amid Increase in Risk Appetite

July 24, 2025 - Written by Frank Davies

STORY LINK Pound to Dollar Rate Today: GBP Gains Ground amid Increase in Risk Appetite

The Pound US Dollar exchange rate ticked up on Thursday as an upbeat market mood underpinned the currency pairing.

At the time of writing, GBP/USD was trading at approximately $1.3548, up roughly 0.2% from the start of Wednesday’s session.

The US Dollar (USD) came under pressure on Wednesday, weakening against most major peers as improving risk appetite dampened demand for the safe-haven currency.

A lift in global market sentiment followed reports of a new trade agreement between the US and Japan, which boosted investor confidence and triggered a shift towards riskier assets.

This upbeat tone left the ‘Greenback’ on the back foot throughout the European session.

With no notable US releases to offer support or direction, USD exchange rates were largely dictated by broader market dynamics, resulting in widespread losses across the board.

The Pound (GBP) fluctuated on Wednesday, as a lack of domestic economic data left Sterling directionless and largely influenced by global market sentiment.


With risk appetite picking up, the increasingly risk-sensitive Pound managed to edge higher against its safer rivals, which lost appeal amid the upbeat tone.

However, GBP struggled to keep pace with even more volatile assets, and slipped against these peers.

Meanwhile, anticipation for Thursday’s flash PMI releases saw many traders hold off on making decisive moves on GBP, keeping the currency largely rangebound as attention turned to economic releases due later in the week.

Looking ahead to Thursday, the Pound US Dollar (GBP/USD) exchange rate is poised for potential volatility as both the UK and the US publish their latest S&P Global flash PMI figures for July.

In the UK, market attention will focus heavily on the services PMI which stands as a key barometer of activity in the country’s largest sector.

Economists expect the index will remain in growth territory, signalling continued resilience across the UK economy, which could offer the Pound a lift.

Across the Atlantic, the US is also scheduled to release its July PMIs.


Forecasts suggest the data will point to ongoing expansion in both the manufacturing and services sectors.

If confirmed, this could help support the US Dollar by reinforcing confidence in the underlying strength of the US economy.

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TAGS: Pound Dollar Forecasts