# GBP/USD consolidates above 1.3450 with muted reaction to US inflation data

> GBP/USD held above 1.3450 after the US PCE report for July, which was broadly in line with forecasts. Core PCE rose 0.3% month-on-month and 2.9% year-on-year, its highest since February, while headline PCE was 2.6% year-on-year. Personal spending grew 0.5%, and the dollar index traded near 98.00.

- Date: 2025-08-29 · published 2025-08-29T12:00:00.000Z
- Category: report · region US · magnitude low
- Page: https://feedsoft.ai/events/23591-gbp-usd-consolidates-above-1-3450-with-muted-reaction-to-us-inflation-data
- Commodities: [British Pound (USD per GBP)](https://feedsoft.ai/c/GBPUSD.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

Firmer US core inflation and resilient spending reduce the chance of near-term Fed rate cuts, which supports the dollar and can cap dollar-priced commodity demand.

## Read by commodity

- DXY: bullish ▲
- GBPUSD: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2026-06-25 | [Euro stabilizes near 13-month lows against the US Dollar after in-line US inflation data](https://feedsoft.ai/events/19034-euro-stabilizes-near-13-month-lows-against-the-us-dollar-after-in-line-us.md) | -0.2% | -0.4% |
| DXY | 2018-07-11 | [U.S. producer inflation rises on strong services gains \| Reuters](https://feedsoft.ai/events/63949-u-s-producer-inflation-rises-on-strong-services-gains-reuters.md) | +0.5% | +0.4% |
| DXY | 2019-02-01 | [USD/JPY climbs to mid-109s as greenback gathers strength on upbeat PMI data - Forex Crunch](https://feedsoft.ai/events/60818-usd-jpy-climbs-to-mid-109s-as-greenback-gathers-strength-on-upbeat-pmi-data.md) | +0.8% | +1.0% |
| DXY | 2024-04-10 | [Dollar Surges as a Hot US CPI Report Dampens Fed Rate Cut Expectations](https://feedsoft.ai/events/12560-dollar-surges-as-a-hot-us-cpi-report-dampens-fed-rate-cut-expectations.md) | +2.0% | +1.2% |
| DXY | 2025-04-30 | [South Africa's rand weakens after mixed local data, US GDP dip — TradingView News](https://feedsoft.ai/events/25420-south-africa-s-rand-weakens-after-mixed-local-data-us-gdp-dip-tradingview-news.md) | -0.5% | -0.5% |

## Sources

- fxstreet.com: https://www.fxstreet.com/news/gbp-usd-consolidates-above-13450-with-muted-reaction-to-us-inflation-data-202508291338

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