# Sterling falls as Powell takes cautious tone on rate cuts

> Sterling fell against the dollar after Fed Chair Jerome Powell took a cautious stance on further rate cuts, giving the dollar a modest lift. The pound was down 0.35% at $1.34795 and had lost 1% over the prior week. Markets were pricing little chance of Bank of England rate cuts before March due to persistent UK price pressures.

- Date: 2025-10-01 · published 2025-10-01T12:00:00.000Z
- Category: macro · region Global · magnitude low
- Page: https://feedsoft.ai/events/23143-sterling-falls-as-powell-takes-cautious-tone-on-rate-cuts
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [British Pound (USD per GBP)](https://feedsoft.ai/c/GBPUSD.md)

## Why it matters

Expectations of fewer Fed cuts support the dollar, which tends to weigh on dollar-priced commodities, while UK rate expectations shape sterling and import costs.

## Read by commodity

- DXY: bullish ▲
- GBPUSD: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2019-05-01 | [Dollar rises as Fed's Powell cools bets on rate-cut](https://feedsoft.ai/events/59251-dollar-rises-as-fed-s-powell-cools-bets-on-rate-cut.md) | +0.2% | +1.1% |
| DXY | 2022-12-15 | [Sterling falls after BoE's ninth consecutive rate hike](https://feedsoft.ai/events/38476-sterling-falls-after-boe-s-ninth-consecutive-rate-hike.md) | +0.4% | -2.2% |
| DXY | 2025-10-29 | [Stocks fall, US dollar strengthens after Powell puts chill on December rate cut \| Reuters](https://feedsoft.ai/events/22612-stocks-fall-us-dollar-strengthens-after-powell-puts-chill-on-december-rate-cut.md) | +1.0% | +0.5% |
| DXY | 2018-06-27 | [Sterling Falls As Dollar Rises, Doubts Return Over Interest Rate Rise - Babypips.com](https://feedsoft.ai/events/64782-sterling-falls-as-dollar-rises-doubts-return-over-interest-rate-rise-babypips.md) | +0.0% | -0.3% |
| DXY | 2023-03-02 | [Sterling falls as interest rate outlook and strong dollar weigh](https://feedsoft.ai/events/37124-sterling-falls-as-interest-rate-outlook-and-strong-dollar-weigh.md) | +0.7% | -0.8% |

## Sources

- reuters.com: https://www.reuters.com/world/uk/sterling-falls-powell-takes-cautious-tone-rate-cuts-2025-09-24/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.