logo

FX.co ★ Everything in UK is in bad condition

Everything in UK is in bad condition

GBP / USD

As expected in the previous forecast, the Bank of England showed excessive conservatism and deprived investors with the prospects for a rate hike in the coming months. The balance of votes for the rate increase remained unchanged since the last meeting by 2-7. Many expected for a shift towards 3-6. Economic indicators also came out worse than forecasts. Industrial production in March added 0.1%, as expected. But on an annual basis, the industrial production increased by 2.9% YoY against expectations of 3.1% YoY due to the downward revision of data for the previous months. The production volume in the construction sector lost 2.3% in the month against the forecast of -2.1%. In the manufacturing industry, compression was recorded at 0.1%. The commodity trade balance for March showed an expansion of the negative balance from -10.4 billion pounds (revised from -10.2 billion) to -12.3 billion pounds, while the forecast assumed a deterioration to -11.2 billion. As a result, the pound declined by 29 points. From a greater decline, the British pound saved the dollar, after the day fell 0.42%.

There are no expected economic news from the UK today. According to the United States, the import price index will be published (an increase of 0.5% is assumed) and the consumer confidence index from the University of Michigan in Mays shows a forecast at 98.4 against 98.8 earlier.

See also: InstaForex is one of the leaders in the Forex market, 12 years on the market, more than 7,000,000 active clients

We are expecting the British pound at 1.3330 for several days.

Everything in UK is in bad condition

* The presented market analysis is informative and does not constitute a guide to the transaction.

*The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade
Go to the articles list Go to this author's articles Open trading account