Following Chancellor Reeves’ Spring Statement, market confidence in the UK government’s fiscal commitment received a boost. However, the Pound GBP continues to trade below the critical level of 1.2900 against the Dollar USD with only a brief spike observed in bond yields.

The Debt Management Office projects gilt issuance of nearly GBP 300 billion, which may contribute to sustaining apprehension among investors regarding the Pound’s movements. Traders are closely monitoring developments to gauge their impact on the currency pair.