Sterling was lower against the U.S. dollar Tuesday, FXStreet’s corrected report said, as the Fed policy announcement and U.K. Budget approached and official figures showed September borrowing above forecast.
FXStreet put GBP/USD at $1.3321 in its Tuesday account, down 0.14%, with the pair ranging from $1.3307 to $1.3349. Its corrected version called the move the pound’s third daily decline in a row, revising an earlier fourth-day count. The outlet linked the weakness to modest dollar gains before the Fed announcement and said Budget-related attention reflected fiscal-sustainability concerns and the possibility of a bond-market response.
The Office for National Statistics (ONS) said the September net borrowing tally reached £24.5 billion, overshooting the Office for Budget Responsibility’s (OBR) estimate for the month by £1.9 billion. The ONS also reported that spending grew faster than receipts. HM Treasury confirmed Chancellor John Healey will present the 2026 Budget to Parliament on Wednesday, while updated OBR forecasts are due alongside it, the ONS said.
U.S. figures released Tuesday showed mixed movements. The Conference Board’s consumer confidence index rose to 91.7 in October from 84.2 in September. The U.S. Census Bureau reported a 1.8% monthly increase in manufacturers’ durable-goods orders for September, bringing them to $345.4 billion. The Census Bureau and the U.S. Department of Housing and Urban Development said new-home sales fell 0.6% to a seasonally adjusted annual rate of 676,000.
A Bank of England review of the 2022 episode records that 30-year gilt yields climbed 130 basis points over the three trading sessions after the Sept. 23 fiscal statement. The central bank later began buying gilts in response to market dysfunction.
The Fed is scheduled to issue its policy announcement and hold a news conference Wednesday, Oct. 28, the same day HM Treasury will deliver the Budget.
