News report 💱 Forex 🌍 United Kingdom

GBP/USD Slips Toward 0.90% Weekly Loss as US PPI Hits 6.5% High

GBP/USD faces a weekly loss of nearly 0.90% as hot US producer inflation data and hawkish Fed signals keep the US Dollar dominant, leaving the pair struggling below the 1.3341 resistance level.

📅 November 13, 2026 🕐 1 min read

2 assets impacted (Forex). Net bias: 1 Bullish, 1 Bearish, 0 Neutral. Strongest signal: GBP/USD ↓ 6/10 (75% confidence).

📊 Affected Assets (2)

GBP/USD

Bearish 🤖 75%

📅 Short-term 🌍 GB · Explicit

US October PPI rose 6.5% YoY, the highest since 2022, and markets price a nearly 90% chance of a 25bp Fed hike in December, keeping the dollar strong. The pair already fell from a weekly high near 1.3460 to around 1.3230-1.3236, heading for a weekly loss of nearly 0.90%. Technicals reinforce the bearish bias with spot below the triple SMA near 1.3341 and no clear support below recent lows.

Catalysts

▼ US October PPI at 6.5% YoY, highest since 2022, up from September's 6.3%
▼ Money markets price ~90% chance of a 25bp Fed rate hike in December, with a slim 10% chance of 50bp

Risk Factors

▲ PPI came in below forecasts and core PPI at 5% was in line with estimates, limiting fresh dollar upside
▲ UK GDP matched estimates and markets see an 85% chance of another BoE hike in December, which could support GBP

USD

Bullish 🤖 70%

📅 Short-term 🌍 US ✨ Inferred

US PPI inflation rose 6.5% YoY, the highest since 2022, and Chicago Fed President Goolsbee said worsening inflation would make the Fed more aggressive. With roughly a 90% probability priced for a 25bp December hike, higher US rates support the dollar against peers like the pound.

Catalysts

▲ October PPI at 6.5% YoY, highest since 2022
▲ Fed officials' hawkish comments, e.g. Goolsbee warning the Fed could become more aggressive

Risk Factors

▼ PPI was below forecasts and core PPI at 5% merely matched estimates, so the surprise element is limited

🧭 Full analysis of these assets

🎯 Key Takeaways

US October PPI rose 6.5% YoY, marking the highest level since 2022.
Money markets price a nearly 90% probability of a 25 basis point Fed rate hike in December.
GBP/USD has fallen from a weekly high of 1.3460 to trade around 1.3230.
The pair maintains a bearish near-term bias, trading below the triple SMA of 1.3341.

📝 Executive Summary

The British Pound is set to end the week with a nearly 0.90% decline against the US Dollar, trading near 1.3230. The pair remains under pressure after US October PPI rose 6.5% YoY, the highest level since 2022, fueling expectations for a 25 basis point Fed rate hike in December. Technical indicators show a bearish bias, with the pair trading below the triple SMA of 1.3341.

❓ FAQ

GBP/USD · Why is the Pound falling against the Dollar this week?

Hot US producer inflation (6.5% YoY in October, the highest since 2022) and hawkish Fed comments have raised expectations of a Fed rate hike in December to about 90%, pushing GBP/USD down from a weekly high near 1.3460 to around 1.3230, a weekly loss of nearly 0.90%.

GBP/USD · What could change the Pound's direction from here?

UK inflation data next week is the key GBP event, alongside US Retail Sales and the FOMC meeting minutes. A move back above the 1.3340-1.3360 area would be needed for the Pound to regain ground; otherwise a break under recent lows could extend the decline.

USD · What is driving the Dollar higher?

The October PPI reading of 6.5% YoY, the highest since 2022, plus hawkish Fed commentary have cemented expectations of a 25bp rate hike in December, which supports the US Dollar.

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