GBP/USD to reach 1.34 by end-2024 – ANZ

Economists at ANZ Bank expect the Pound Sterling (GBP) to strengthen in the coming year with Cable forecast to end at 1.34.

Easing of inflationary pressures point to a robust GBP in 2024

While the growth outlook is challenging, signs of resilience and the easing of inflationary pressures point to a robust GBP in 2024.

We don’t see the BoE easing rates until Q3 2024, giving the GBP the strong backdrop of higher real yields for longer and a recovering economic momentum.

We see the GBP/USD at 1.34 by year’s end.