# Outlook For Pound US Dollar Exchange Rate: GBP/USD Sinks On Fed And BoE Decisions

> GBP/USD fell to a five-week low of about $1.34 in the week to November 5 after the Bank of England held rates at 0.1% against market expectations of a hike. The Fed's announcement that it would begin tapering its bond purchases also boosted the dollar. The BoE cut its growth forecasts for 2021 and later quarters.

- Date: 2021-11-08 · published 2021-11-08T12:00:00.000Z
- Category: macro · region UK · magnitude low
- Page: https://feedsoft.ai/events/44295-outlook-for-pound-us-dollar-exchange-rate-gbp-usd-sinks-on-fed-and-boe-decisions
- Commodities: [British Pound (USD per GBP)](https://feedsoft.ai/c/GBPUSD.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A stronger dollar and weaker sterling tend to pressure dollar-priced commodities and raise costs for UK importers. The effect on feed prices is marginal.

## Read by commodity

- DXY: bullish ▲
- GBPUSD: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2019-01-31 | [Pound-to-Dollar Outlook: GBP/USD Exchange Rate Slides As US Payrolls Beat Expectations](https://feedsoft.ai/events/61331-pound-to-dollar-outlook-gbp-usd-exchange-rate-slides-as-us-payrolls-beat.md) | +0.1% | +0.4% |
| DXY | 2017-10-29 | [Pound To Dollar Exchange Rate Outlook: BoE And FOMC Meetings Ahead \| Exchange Rates UK](https://feedsoft.ai/events/68719-pound-to-dollar-exchange-rate-outlook-boe-and-fomc-meetings-ahead-exchange.md) | -0.2% | -1.6% |
| DXY | 2026-07-30 | [British Pound declines as Fed hawkish rate holds boost US Dollar, BoE rate decision looms](https://feedsoft.ai/events/18612-british-pound-declines-as-fed-hawkish-rate-holds-boost-us-dollar-boe-rate.md) | -1.2% | -1.9% |
| DXY | 2019-08-01 | [British Pound To US Dollar (GBP/USD) Exchange Rate Hits New Post-2017 Worst As Bank Of England Cuts UK Growth Outlook \| Exchange Rates UK](https://feedsoft.ai/events/57848-british-pound-to-us-dollar-gbp-usd-exchange-rate-hits-new-post-2017-worst-as.md) | +1.1% | +2.1% |
| DXY | 2024-02-03 | [VND/USD exchange rate expected to rise following Fed decision](https://feedsoft.ai/events/32002-vnd-usd-exchange-rate-expected-to-rise-following-fed-decision.md) | +0.1% | -0.0% |

## Sources

- exchangerates.org.uk: https://www.exchangerates.org.uk/news/34356/2021-11-08-outlook-for-pound-us-dollar-exchange-rate-gbp-usd-sinks-on-fed-and-boe-decisions.html

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