EUR/GBP Fundamental Forecast – February 15, 2016

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Published: Feb 12, 2016, 11:30 UTC

Analysis and Recommendations: The EUR/GBP dipped 71 points to 0.7754 as the euro gave up some momentum after lackluster data from Germany as well as a

EUR/GBP Fundamental Forecast – February 15, 2016

Analysis and Recommendations:

The EUR/GBP dipped 71 points to 0.7754 as the euro gave up some momentum after lackluster data from Germany as well as a miss in Eurozone industrial production. The pound soared to trade a bit higher as attentions turned elsewhere. Howard Archer, the chief U.K. and European economist at IHS, said the analysis firm had been expecting GDP growth in the region to improve to 1.7 percent in 2016, “but this is currently looking ever more questionable and may well need to be revised down.”

The euro zone economy grew at the same pace in the last quarter of 2015 as in the third because industrial output fell in December, data showed, marking a slowdown from the first half of the year and adding to arguments for further monetary easing.

The European Union’s statistics office Eurostat said gross domestic product in the 19 countries sharing the euro rose 0.3 percent quarter-on-quarter in the last three months of last year, the same as in the July-September period and as expected by economists polled by Reuters.

FxEmpire provides in-depth analysis for each asset we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports, which covers the current week and are published by Sunday before the new week begins. Daily we share any new events, forecasts or analysis that affect the current day. To achieve a full accurate understanding it is important that you study all of our data and analysis as a whole.

Today’s economic releases:

Cur.	Event	Actual	Forecast	Previous
	China – Lunar New Year
AUD	RBA Governor Stevens Speaks
AUD	Home Loans (MoM) (Dec)	2.6%	3.0%	1.9%
EUR	German CPI (MoM) (Jan)	-0.8%	-0.8%	-0.8%
EUR	German GDP (QoQ) (Q4)	0.3%	0.3%	0.3%
EUR	German GDP (YoY) (Q4)	2.1%	2.3%	1.7%
EUR	EU Finance Ministers Meeting
EUR	GDP (YoY) (Q4)	1.5%	1.5%	1.6%
EUR	GDP (QoQ) (Q4)	0.3%	0.3%	0.3%
EUR	Industrial Production (MoM) (Dec)	-1.0%	0.3%	-0.5%
USD	Core Retail Sales (MoM) (Jan)		0.1%	-0.1%
USD	Export Price Index (MoM) (Jan)		-0.9%	-1.1%
USD	Import Price Index (MoM) (Jan)		-1.4%	-1.2%
USD	Retail Sales (MoM) (Jan)		0.1%	-0.1%

Upcoming Economic Events that you should be monitoring:

Cur.	Event	Actual	Forecast	Previous
	United States – Presidents’ Day
	Canada – Family Day
JPY	GDP (QoQ) (Q4)		-0.3%	0.3%
JPY	GDP (YoY) (Q4)		-1.2%	1.0%
CNY	Exports (YoY) (Jan)		-1.9%	-1.4%
CNY	Imports (YoY) (Jan)		-0.8%	-7.6%
CNY	Trade Balance (Jan)		58.85B	60.09B
JPY	Industrial Production (MoM) (Dec)			-1.4%
EUR	Trade Balance (Dec)			23.6B