GBP/USD fluctuated within a narrow range near 1.2600 in the latter half of Monday, as a cautious market mood lent support to the US Dollar. With trading activity subdued, the pair's potential for upward movement was limited. As the day unfolded, the lack of trading volume was palpable, driven by the Presidents' Day holiday closure of US financial markets.
In parallel, the EUR/USD faced modest bearish pressure, trading below the 1.0500 mark on Monday. The subdued market conditions, influenced by a US holiday, suggested that trading volumes would likely remain thin throughout the day. Investors showed restraint in their activities, reflecting a broader sentiment of caution across global forex markets.
The US Dollar benefitted from the restrained market atmosphere, maintaining its position against major counterparts during Monday’s session. The cautious sentiment among investors kept the GBP/USD and EUR/USD within constrained trading margins, emphasizing a wait-and-see approach ahead of more active trading days.
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