Image Source: DepositPhotosThe Sterling is giving away previous gains on Wednesday, as a string of downbeat UK macroeconomic releases have boosted concerns about the country’s economic outlook.
National Statistics data has revealed that the UK economy contracted at 0.3% in October, well beyond the -0.1% expected, and following a 0.2% growth in September.Beyond that, manufacturing production dropped 1.1%, against market expectations of a flat performance, driving industrial output 0.8% down instead of the 0.1% decline forecasted by the experts. Weak UK data poses a challenge to the BoEThese figures offset the positive impact after Tuesday’s strong employment report and pose a headache for the BoE ahead of Thursday’s monetary policy decision.
Later today, the Fed is expected to leave its benchmark rate unchanged at the 5.25% – 5.5% band. The market will be attentive to the dot plot and Chairman Powell’s comments about the bank’s next policy steps, which might boost USD volatility. Technical levels to watch GBP/USD
More By This Author:GBP/JPY Retreats Few Pips From Daily High After Disappointing UK Macro Data, Up A Little USD/CAD Price Analysis: Hovers Below 1.3600 On Downbeat Oil Prices, Fed Decision Eyed USD/CHF Rebounds Near 0.8760 As US Dollar Improves Before Fed Decision
Related Posts
Amazon enters the student loan business, offering discounts for Prime members
Headline Durable Goods Orders Up In September, Last Three Of Four Months
COT Report: Speculators Buy The Japanese Yen
The Weekly Snapshot – October 31, 2015
Ten Clean Energy Stocks For 2017: Taking Profits
Third Quarter GDP Model Inches Up To 1.5% On Auto Strength
Leave A Comment