EUR/GBP Fundamental Analysis June 22, 2012, Forecast

Analysis and Recommendations:

The EUR/GBP fell today, to trade at 0.8056 as the euro declined against most of its trading partners, as worries continued to grow over Spain and Italy’s borrowing costs. Spain is expected to formally request international aide today.

A report released in the UK today, showed UK retail sales picked up in May, expanding 1.4% m/m after falling by 2.4% in April. Sales ex-auto fuel were up by 0.9% m/m. Auto fuel sales were up solidly and clothing sales were up by 3.5%. Scotia’s UK economics team notes that there were 60% more sunshine hours in May than in April (and 10% more than the seasonal norm) and it was also a bit warmer, boosting a variety of sales components. They think that the general trend in consumer spending should also improve during H2 2012 as the burden from high non-discretionary spending prices (i.e. food and energy prices) continues to ease, making more room for faster discretionary spending. 

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.

Economic Data Releases for June 21, 2012 actual v. forecast

 

Upcoming Economic Events that affect the CHF, EUR, GBP and USD

Upcoming Government Bond Auctions

Date Time Country 

Jun 22  15:30  Italy

Jun 25  09:10  Norway

Jun 25  09:30  Germany

Jun 25  10:00  Belgium

Jun 25  15:30  Italy

Jun 26  00:30  Japan