Pound Sterling extends upside as soft US core PCE report cheers market mood

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• Pound Sterling rises after the US core PCE price index remains in line with estimates.
• Investors shift focus to the BoE policy, which is expected to remain unchanged at 5.25%.
• BoE policymakers may struggle to understand persistent inflation amid novel labor market data collection methods.

The Pound Sterling (GBP) recovers sharply against the US Dollar as market sentiment improves after a steady US core Personal Consumption Expenditure (PCE) price index report for September. The near-term outlook of the GBP/USD pair remained weak as the United Kingdom economy is facing the wrath of higher interest rates by the Bank of England (BoE) amid stubborn consumer inflation.