GBP/USD Fundamental Analysis December 27, 2012 Forecast

Analysis and Recommendations:

The GBP/USD climbed today in light volume trading to hit 1.6155 adding 35pips. The US dollar weakened after market sentiment turned more positive on hopes of a negotiated deal in the US tomorrow or Friday. Lawmakers and President Obama will meet again tomorrow to reach a deal to settle the growing fiscal disaster awaiting the country if a deal for a balanced budget and deficit reduction is not in place by December 31, 2012. Traders today looked for more risk after running to the US dollar as a safe haven before the holidays.

The UK and most of Europe remain closed today for Boxing Day and will return tomorrow after the Christmas holiday with many traders enjoying a long week vacation. Volume is expected to remain light and there is no major eco data on the calendar.

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 December 26, 2012 actual v. forecast

Markets were closed on Christmas day and there were no economic releases or major data reports.

 

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

Government Bond Auction

Date Time Country 

Dec 27 10:10 Italy  

Dec 28 10:10 Italy