GBP/USD soars above 1.2500 as a bullish-engulfing pattern emerges

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• Disappointing New York Empire State Manufacturing Index plummets to -31.3, causing concern for the US economy.
• • US debt ceiling negotiations progress with “serious and constructive” talks according to Biden and Brainard.
• • BoE’s recent 25 bps rate hike aims to curb inflation; upcoming labor market data could hint at another hike in June.

GBP/USD bounces off last week’s low of 1.2443 and rises above the 1.2500 figure as a bullish-engulfing technical pattern emerges. Factors like a soft US Dollar (USD) and appetite for riskier assets seem to be behind GBP/USD’s recovery. At the time of writing, the GBP/USD is trading at 1.2515.