GBP/USD Fundamental Analysis June 24, 2014 Forecast

Analysis and Recommendations:

The GBP/USD is trading at 107020 up by 5 points. The pound was 0.2 percent from the highest level in more than five years against the dollar as data showed speculators increased their bets on its appreciation to the most since 2007. Sterling approached the strongest level since October 2012 versus the euro before a report this week that analysts said will confirm the U.K. grew 0.8 percent in the first quarter. An improving economy prompted Bank of England Governor Mark Carney to say on June 12 an interest-rate increase may happen sooner than markets anticipated, a message reiterated in minutes of this month’s Monetary Policy Committee meeting released last week. U.K. government bonds rose.

Today sterling is again rather well bid. The UK currency is supported by comments from BoE’s Miles. He said that it is more likely that policy normalization will become appropriate during his remaining last year on the MPC. Cable is drifting back up from the 1.70 area after Friday’s correction. The economics calendar is thin today so not much action is expected here until the release of US housing data, which will hopefully show an improvement in the US housing markets.

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 June 23, 2014 actual v. forecast

 

Upcoming Economic Events that affect the EUR, GBP and USD

Government Bond Auction

Date Country 

Jun 24 08:00 Holland

Jun 24 08:30 Spain

Jun 24 09:00 Norway

Jun 24 15:30 Italy

Jun 24 15:30 UK

Jun 25 09:10 Italy

Jun 25 15:30 US

Jun 25 17:00 US

Jun 26 00:30 Japan

Jun 26 09:10 Italy

Jun 26 17:00 US

Jun 27 09:10 Italy