Retail sales in the United Kingdom turned out better than expected in February, rising by 0.3% higher than market forecasts, which were anticipating a decrease. This is considered a positive signal for the overall economy.

The stance of the Federal Reserve in its recent meeting has led the market to start anticipating that the Fed may begin to taper interest rates for the first time in June. This has resulted in a depreciation of the US dollar.

Investors are still awaiting the release of Gross Domestic Product (GDP) data for the fourth quarter of 2023 from both the United Kingdom and the United States on Thursday. This will undoubtedly have a direct impact on the GBP/USD currency pair.