The British pound rebounded to $1.329 from an 11-week low of $1.321 on July 31, as the US dollar weakened following a softer-than-expected jobs report that signaled a cooling labor market. However, the pound posted a steep 3.8% decline for July, its worst monthly performance since September 2022, as concerns over the UK’s economic outlook and fiscal health continued to weigh on sentiment. Investors remain increasingly pessimistic about Britain’s growth prospects, fueling expectations that the Bank of England may cut interest rates by 25 basis points in August, with another cut likely by year-end, as it shifts focus to supporting growth.