Sterling Sentiment Sours as FXB Sees Near-10% Asset Drain in a Day

Sterling Sentiment Sours as FXB Sees Near-10% Asset Drain in a Day

Invesco CurrencyShares British Pound Sterling Trust’s FXB recorded a sharp outflow of $6.47 million on January 21, 2026, as investors pulled capital from the pound-tracking fund. With assets under management now at $71.76 million, the single-day redemption amounted to roughly 9.0% of FXB’s total AUM, signaling a notable shift in positioning toward the British pound.

The move comes even as the related forex pair, FX:GBP-USD, continues to trade resiliently. The pound is currently changing hands at 1.36956 against the U.S. dollar, up about 2.40% over the past three months—a steady advance that reflects cautious optimism on the U.K. economy relative to the U.S. The short-term technical picture is constructive as well, with a 1-day signal of Buy, suggesting momentum remains on the upside in the near term.

The contrast between FXB’s sizeable outflows and the pound’s modest strength points to profit-taking and tactical reallocations rather than an outright collapse in confidence. ETF investors may be locking in gains after the recent climb in GBP-USD, or rotating into other risk assets as central bank policy expectations evolve. Still, a nearly 10% single-day AUM swing underscores how currency ETFs can quickly amplify shifts in macro sentiment, particularly around interest-rate and growth outlooks on both sides of the Atlantic.

For a more detailed analysis and real-time sentiment trends, check the live currency exchange rates here.