GBP/USD FLUCTUATES AS FEDERAL RESERVE HOLD RATES, PLANS TO SLOW BALANCE SHEET REDUCTION

• GBP/USD trades between 1.2480 and 1.2512, reacting to the Federal Reserve's decision to hold rates unchanged.
• The Fed adopts a more balanced approach to achieving employment and inflation targets, noting a stall in progress towards the 2% inflation goal.
• The Fed to reduce its balance sheet in June 2024.

The GBP/USD seesaws after the Federal Reserve held rates unchanged but announced that it would slow the pace of its balance sheet reduction beginning in June. The major trades volatile within the 1.2480/1.2512 range at the time of writing,