EUR/GBP Fundamental Analysis September 25, 2012 Forecast

Analysis and Recommendations:

The EUR/GBP  declined today as the euro weakened againts its crosses to trade at 0.7971. The GBP hit its highest price in more than two weeks against the euro on a weaker-than-expected German sentiment survey and uncertainty over whether and when Spain will seek a bailout.

Speculators said the pound may also get a lift from farm subsidy payments due on Friday that the EU makes to the UK, with talk this could be as much as 3 billion euros, as well as from reported flows related to a dividend payment.

More losses could see it target the early September low of 78.87 pence.

The single currency came under selling pressure after a weaker-than-expected German Ifo sentiment survey raised concerns that the euro zone’s largest country may be struggling.

There were also worries about Spain and Greece, with Spanish Economy Minister Luis de Guindos saying on Saturday Spain will not rush to seek external aid and Greece yet to secure a deal on an austerity package with its international lenders.

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 September 24, 2012 actual v. forecast

 

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

Government Bond Auction

Date Time Country 

Sep 25 08:30 Holland 

Sep 25 08:30 Spain 

Sep 25 09:10 Italy  

Sep 25 14:30 UK 

Sep 25 17:00 US 

Sep 26 09:10 Italy  

Sep 26 09:10 Sweden 

Sep 26 09:00 Germany 

Sep 26 14:30 Sweden 

Sep 26 17:00 US 

Sep 27 00:30 Japan 

Sep 27 09:10 Italy  

Sep 27 17:00 US