GBP Holds Near 1.3340 as Flexible BoE Stance Supports Pound

GBP/USD eased to around 1.3340-1.3355 after ending a nine-session rally fueled by weak June U.S. nonfarm payrolls of just 57,000. Renewed U.S. strikes on Iran triggered a dollar safe-haven bid and risk-off sentiment, pressuring the pair despite earlier gains from a steadier UK political backdrop ahead of Prime Minister Andy Burnham. The Bank of England held rates at 3.75%, and BNY Mellon noted that the BoE’s flexible approach to supply shocks, consistent gilt demand, and positive real rates continue to underpin sterling resilience even as tightening expectations are scaled back.