Pound Sterling to Rise Vs US Dollar, Euro, JPMorgan Trader Says - Pound Sterling Live

What the desk is arguing

JPMorgan’s bullish outlook suggests a strengthening of the Pound Sterling against the US Dollar and Euro. The trader points to increasing economic stability in the UK, which may ultimately lead to more favorable conditions for GBP appreciation.

Supporting this view, the trader indicates that any changes in monetary policy, especially from the Bank of England, could further bolster the Pound. Conversely, the implicit argument is that existing bearish sentiment towards the Pound—driven largely by economic uncertainties—may overlook potential upward trends in the upcoming months.

Where it sits in our coverage

Currently, our consensus target for GBP/USD sits at 1.075, with a trading range forecasted between 1.04 and 1.12. JPMorgan’s stance aligns with this bullish perspective, as they maintain a target of 1.10 for March 2026, suggesting that they expect convergence with our consensus while highlighting the potential for further upside.

Specific firm targets include: - JPMorgan: 1.10 (Mar26) - Barclays: 1.08 (Mar26) - Goldman Sachs: 1.06 (Mar26)

How other firms see it

While JPMorgan is aligned with a bullish view of the Pound, there are firms taking a more cautious stance. BofA sees potential downside risks and has set a more conservative target at 1.04 for March 2026.

Other perspectives include: - Morgan Stanley: Neutral on GBP, targets 1.07 - Deutsche Bank: Slightly bearish, targeting 1.05

Overall, while a predominantly optimistic tone prevails from JPMorgan, the spectrum of opinions remains mixed within the broader market context.