GBP Trading Outlook
The Sterling (GBP) EUR/GBP broke below 0.78000 overnight and this supported the GBP/USD move back above 1.5700 where we have held for most of Asian trading on Friday. The Outlook is for more gains if the positive risk mood remains. Looking ahead, June German PPI forecast at -0.2% vs. -0.3% previously.
The Sterling (GBP) closed at opening levels but was well supported on a pullback in the European session. The MPC minutes from the last bank of England interest rate meeting where a surprise to the market with a 7-2 split. The two dissenters did not agree that expanding the QE was needed and that other measures announced were sufficient. Looking ahead, May EU Current Account forecast at 5.3bn vs. 3.6bn previously. Also June Retail Sales forecast at 0.6% vs. 1.4% previously.
The British pound (GBP) rose to 1.5663 from 1.5625 US dollars, ahead of the Bank of England (BoE) Monetary Policy Committee (MPC) meeting minutes release today at 08:30 GMT.
The Sterling (GBP) was the strongest currency in the market gaining against the USD and Yen and also making small gains against other risk assets with the UK seen as a better bet than the Euro for going forward. EUR/GBP broke 0.7850 and is making daily fresh lows. Looking ahead, German July ZEW forecast at 30 vs. 33 previously. Also June Retail Sales forecast at 0%.
The Sterling (GBP) The GBP/USD took advantage of the relief rally on Friday to push back above 1.5500 and on to 1.5570 with the traders quick to change their mood on the Cable lately. EUR/GBP pushed to fresh multi year lows under 0.7900 and is targeting a break of 0.7800 if the downtrend continues. Looking ahead, June EU CPI is forecast at 0 vs. -0.1% m/m.
Go to The Sterling (GBP) Archive





