Dollar To Pound Forecast – Is Now The Best Time To Buy Pounds From Dollars?

The US Dollar-to-Pound Sterling forecast is an indication of where technical and fundamental analysts think the GBPUSD price may be in the future. You can use these exchange rate forecasts to help you decide if now is the right time to buy Pounds with US Dollars, or if you should wait until the price improves.

GBPUSD Forecast Highlights

• GBPUSD rallies to 1.360 and consolidates
• Significant macro uncertainty remains, mostly against USD
• Watch to buy more GBP on a dip near 1.320-1.300

How has the Pound performed against the Dollar recently?

The USD-GBP exchange rate is intricately linked to the economic fortunes of both countries. After all, it is an expression of confidence, relatively speaking. When one country is doing better than the other, its exchange rate (ceteris paribus) tends to appreciate.

One factor heavily influencing the exchange rate these days is trade. Specifically, the tariff policies under the new White House administration.

Since early April, GBPUSD has rallied sharply. But not in a smooth manner. Volatility spiked; price whipsaws increased. The “flexibility” of President Trump, in reality, means unpredictability. For example, after imposing tariffs on the rest of the world, are these Trump ‘reciprocal tariffs‘ about to roll back?

This week, the US International Court of Trade has ruled against the White House on those newly-enacted tariffs. But a day later, the US Court of Appeals swept that aside, by granting an “administrative stay” to the current tariffs. That is, levies are continuing for now. An appeal date has been decided next month.

Trying to keep up with all these legal battles is very taxing. And confusing, too. Not surprisingly, this confusion is reflected in GBPUSD.

The rally to 1.360 was promptly beaten back, which raises the potential of a ‘failed trend assertion’. If we cast our eyes longer-term, however, GBPUSD’s multi-week uptrend still appears intact.  But those legal battles mean that a period of sideways choppiness looks on set to unfold.

USD is unlikely to regain its composure fully until investors are sure that previously-announced tariffs are decisively rolled back. For now, I would give the uptrend (GBP stronger) the benefit of the doubt.

Is it a good time to buy Pound Sterling with USD?

Given that USD has weakened substantially Sterling, should we buy some GBP before the rate weakens further?

If you do need some Sterling in the near term, the latest retracement to 1.350-1.340 could be an opportunity to buy some British Pound.  Of course, you may argue that USD is oversold and due for a rebound. That’s true. But bear in mind that FX prices could easily overshoot, especially when tariff negotiations break down. Most macro factors are still dollar-negative.

Any dip to 1.300 are good levels to acquire more GBPs.

Will the pound get stronger against the USD in the second half of 2025?

UK is not growing fast these days. But US appears relatively weaker, largely caused by increased policy uncertainty.

The latest quarterly real GDP of USA (1Q 2025), for example, flipped negative. This is the first negative growth in since 2023 (see below).

Source: BEA (29 May 2025)

According to the agency:

 “the downturn in real GDP in the first quarter primarily reflected an upturn in imports, a deceleration in consumer spending, and a downturn in government spending that were partly offset by upturns in investment and exports.”

All these are indeed worrying trends. Hence, the value of the US dollar has been shrinking against key currencies since early April. Investors are no longer confident that the world’s largest economy will expand as vigorously as it did in 2024. Neither are consumers. Many purchase invoices have an additional line of ‘Trump Tariff Surcharge”. Hardly an endearing item for consumers.

Last month, the long-standing US Michigan Consumer Sentiment Survey registered one of lowest values in years. The index was rising firmly until recently (Jan 25), when it plummeted from 70+ all the way to 50.8 (see below). Whenever the index is deteriorating this quickly, an economic slowdown is a firmly on the table. Who feels the economic chill first? Obviously, the masses.

Source: Advisorsperspectives.com (May 2025)

Taken together, it is clear that the US economy is entering into a rough patch. Yes, Wall Street has rebounded sharply (to the surprise of many), but the underlying economic trends are heading in the wrong direction. All these issues greatly displease the dollar bulls. It is not difficult to see why the dollar is struggling to return below 1.300.

What if one of the goals of Trump 2.0 is to weaken the USD? If that’s the case, they are succeeding beyond expectations. But that’s another topic for another day.

For now, the outlook for 2H 2025 appears dollar negative, until the macro landscape reverts and normalises (eg, tariff rollback).

What is the GBPUSD forecast in weeks, months, and years?

The rally in GBPUSD is unlikely to continue near term, that’s the market consensus for Cable.

According to a panel of brokers, the next few weeks will see a consolidation here into 1.330-1.320. This view should not be surprising given the rate’s somewhat overbought technicals.

But we look further, these forecasts are not that bearish for GBP. The dispersion of forecast generally stays above 1.300. While the USD is modestly oversold and may rebound in the weeks ahead, the medium-term trend still appears favourable to GBP.

Source: fxstreet.com (May 2025)

Where is the best place for buying large amounts of Pounds from US Dollars

There are two different ways people buy Pounds from US dollars:

• Through a currency broker – when transferring money abroad
• Through a forex broker – when speculating on the price of currency

You can use this comparison table of US currency transfer companies to see how many currencies they offer, what the minimum USD transfer is and if they offer forwards and currency options as well as when they were established. You can either visit each currency broker individually or use our currency quote comparison tool to request multiple exchange rates.

Or, if you are more interested in trading GBPUSD you can compare US forex brokers here.

How many Pounds does 1 US Dollar get at the live exchange rate?

At the che current GBPUSD exchange rate 1 USD is worth 0.736735 GBP which is a change of -0.16% from the previous day’s closing price. Over a week GBPUSD is -0.16%, compared to its change over a month of -2.07% and one year of -5.74%.

GBPUSD exchange rate data is updated every 15 minutes.