The GBP/USD pair trades with a positive bias for the fourth successive day on Wednesday and hovers around the 1.2535-1.2540 area during the Asian session, just below its highest level since September 9 touched the previous day.The British Pound (GBP) continues to draw support from the overnight hawkish remarks by the Bank of England (BoE) officials, which, along with subdued US Dollar (USD) price action, acts as a tailwind for the GBP/USD pair. Speaking at a Treasury Select Committee hearing on Tuesday, BoE Governor Andrew Bailey warned that investors were putting too much weight on the recent data and are underestimating the persistence of UK inflation. Furthermore, Bailey stressed that the BoE would keep interest rates high for an extended period, downplaying speculations that the central bank will start policy easing by June 2024.The USD, on the other hand, struggles to capitalize on the previous day’s hawkish FOMC minutes-inspired recovery move from its lowest level since August 31. In fact, the minutes from the Federal Reserve’s (Fed) October 31-November 1 meeting revealed that policymakers backed the case for higher for longer interest rates for some time to tame inflation. The initial market reaction, however, fades rather quickly amid growing conviction that the US central bank will keep rates steady rather than hiking.Moreover, market participants are still pricing in the possibility of a first-rate cut at the April 30-May 1 policy meeting, which keeps the yield on the benchmark 10-year US government bond depressed near a two-month low and undermines the buck. This, in turn, is seen as another factor lending some support to the GBP/USD pair. Apart from this, the overnight sustained strength and acceptance above the 100-day Simple Moving Average (SMA) support prospects for a further appreciating move.Moving ahead, UK Finance Minister Jeremy Hunt will deliver an autumn statement to the House of Commons and present the latest independent forecasts produced by the OBR. Hunt is also expected to announce changes to his tax and spending plans, which could drive the GBP/USD pair. Later during the early North American session. traders will take cues from the US data – Weekly Initial Jobless Claims, Durable Goods Orders and the revised Michigan Consumer Sentiment Index.Technical levels to watchGBP/USD
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