Analysis and Recommendations: The GBP/USD dipped 9 points after UK construction PMI missed expectations but remained positive. The pound moved to 1.5618
The GBP/USD dipped 9 points after UK construction PMI missed expectations but remained positive. The pound moved to 1.5618 fighting a stronger US dollar. The pound fell against the dollar and the euro on Tuesday, after growth in Britain’s construction industry slowed unexpectedly in July.
The monthly Markit/CIPS UK construction purchasing managers’ index (PMI) fell to 57.1 after hitting a four-month high of 58.1 in June, confounding a Reuters poll estimate for a rise to 58.4.
The slowdown may have reflected an easing of the surge in confidence among construction firms that followed May’s unexpectedly conclusive national election, survey compiler Markit said.
Britain’s economy picked up speed in the second quarter after a slowdown earlier in the year but was driven largely by its dominant services sector. A separate Markit survey published on Monday showed British manufacturing grew weakly in July.
Tuesday’s construction survey showed housebuilding activity increased at the slowest pace since April, marking one of the weakest expansions since mid-2013 and underlining the challenge that policymakers face in tackling Britain’s chronic housing shortage.
The government last month announced a plan to remove obstacles to building new houses after it helped cause a surge in house prices by backing subsidies for people trying to get on the property ladder.
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:
Cur. |
Event |
Actual |
Forecast |
Previous |
|||
AUD |
Retail Sales (MoM) (Jun) |
0.7% |
0.5% |
0.4% |
|||
AUD |
Trade Balance (Jun) |
-2.933B |
-3.100B |
-2.677B |
|||
AUD |
Interest Rate Decision (Aug) |
2.00% |
2.00% |
2.00% |
|
||
AUD |
RBA Rate Statement |
|
|
|
|
||
GBP |
Nationwide HPI (YoY) (Jul) |
3.5% |
3.5% |
3.3% |
|
||
GBP |
Nationwide HPI (MoM) (Jul) |
0.4% |
0.4% |
-0.2% |
|
||
EUR |
Spanish Unemployment Change |
-74.0K |
-45.6K |
-94.7K |
|
||
GBP |
Construction PMI (Jul) |
57.1 |
58.4 |
58.1 |
Upcoming Economic Events that you should be monitoring:
Wednesday, August 5, 2015
Cur. |
Event |
Actual |
Forecast |
Previous |
|||
GBP |
Services PMI (Jul) |
|
58.0 |
58.5 |
|
||
USD |
ADP Nonfarm Employment Change |
|
215K |
237K |
|
||
USD |
ISM Non-Manufacturing PMI (Jul) |
|
56.2 |
56.0 |
Government Bond Auctions
Date Time Country
Aug 05 11:30 Germany Eur 4bn Oct 2020
Aug 05 11:30 Sweden Holds bond auction
Aug 06 10:30 Spain Auctions Bonos
Aug 06 11:10 France Auctions OATs
Aug 10 17:30 Italy Announces details of BTP/CCTeu on 13 Aug
Aug 11 11:30 UK Auctions 0.125% 2058 I/L Gilt
Aug 12 11:30 Germany Eur 4bn Aug 2025 Bund
Aug 13 11:10 Italy Auctions BTPs/CCTeus