EUR/GBP Fundamental Analysis January 9, 2015 Forecast

Analysis and Recommendations:

The EUR/GBP eased by 21 points to trade at 0.7813 as the euro continues to fall to its lowest level in many years on worries over Greece and expectations from the ECB. Euro and pound continued to slide lower, with the euro trading lower at 1.1727 and pound at 1.5066. The euro declined by 0.4 percent yesterday and hit fresh nine-year lows against the dollar after data showing that consumer prices in the euro area fell in December for the first time in more than five years. Further, data added to expectations that the ECB could implement quantitative easing soon at its next meeting on January 22^nd.

Sterling has slumped to a 17-month low against the dollar after a closely-watched economic survey suggested growth in the UK slowed to just 0.5pc in the final quarter of the year. An influential gauge of the services sector showed expansion had slowed to its lowest level in 19 months. Services account for almost 80pc of the UK’s economic output.

FxEmpire provides in-depth analysis for each currency and commodity 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.

Today’s economic releases actual vs. forecast:

 

Upcoming Economic Events that you should be monitoring:

Friday, January 9^th

Government Bond Auction

Date                                    Country               Auction