GBPUSD rises back toward its weekly top on mixed NFP. In response to the ambiguous US monthly jobs data, the GBPUSD duo receives new bids during the early North American session. And surges to the 1.2035-1.2040 region, returning closer to the weekly high.

GBPUSD rallied as the US dollar was heavily impacted by the disappointing US NFP report.

According to the main NFP, the US economy created 311K new employment in Feb, far exceeding consensus expectations for a reading of 205K.

However, this represents a significant slowdown from the 504K reading from the prior month which was downwardly revised. Furthermore, the jobless rate suddenly increased from 3.4% to 3.6%. Additionally, despite increasing by 0.2% for the month and 4.6% YoY, wages fell short of market expectations.

GBPUSD increases as the US labor market weakens.

The US Treasury bond yields continue to decline as a result of the data, which further indicates an easing of the US labor market. And compels investors to reduce their bets for a large 50 bps rate increase at the upcoming FOMC meeting.

In addition, a strong recovery in US stock futures puts pressure on the safe-haven US Dollar, which also helps the GBPUSD duo extend its impressive intraday rises.

The British Pound benefited from the UK GDP figures

The UK’s better-than-expected monthly GDP print, which revealed that the economy expanded by 0.3% in Jan, And, continues to support the British pound, on the other hand.

This suggests that the British economy is robust, which might enable the BOE to raise interest rates once again this month. This is considered to be yet another element supporting the GBPUSD duo’s chances for further gains.

Key Technical Levels