UBS: GBP/USD is expected to face further decline in the near future.

Jinshi Data News on January 20, analysts at UBS Global Wealth Management said in a report that the difference between Intrerest Rate and economic rise is favorable to the US dollar, and the pound may continue its recent downward trend in the short term. They said that the UK Central Bank may cut interest rates by 100 basis points this year, exceeding market expectations, while the Fed may cut interest rates by 50 basis points. The pound against the dollar may fall below 1.20 in the near term. 'However, we believe that crowded dollar trades may be partially unwound later this year, and the pound against the dollar may test 1.29 by the end of 2025.' UBS expects that due to the UK's relatively low sensitivity to potential US trade tariffs, the euro against the pound will fall to 0.82 by the end of the year.