GBP/USD Fundamental Analysis June 19, 2013 Forecast

Analysis and Recommendations:

The GBP/USD is trading at 1.5587 well off the 4 month high seen just days ago at 1.57. The pair is down 134 points today. Despite an early bounce in sterling following U.K. inflation data, the pound was dragged to a fresh low for the day against the dollar after Moody’s Investors Service Inc. downgraded the Co-Operative Bank’s ratings. On Monday, the U.K. bank asked bondholders to absorb heavy losses to stave off a potential collapse. U.K. stocks and gilts were little moved on the inflation data, which showed consumer prices rose at an annual rate of 2.7% in May compared with 2.4% in April. U.S. stock futures pointed to a firmer start to trading on Wall Street as investors eyed the start of a two-day meeting of U.S. policymakers. Still, volatility is expected to persist following a bumpy session on Monday.Global markets only have one focus and that is what to expect from the Fed tomorrow. Bernanke’s comments at their meeting in May created chaos, as the lack of clarity about QE prompted mass speculation and uncertainty. Everyone will be keen to avoid a repeat performance as traders place their bets.

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 18, 2013 actual v. forecast

 

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

Government Bond Auction

Date Time Country 

Jun 19 09:30 Germany

Jun 19 09:30 Portugal

Jun 20 08:30 Spain

Jun 20 08:50 France

Jun 20 09:30 UK

Jun 20 09:50 France

Jun 20 15:00 US

Jun 20 15:30 Italy

Jun 20 17:00 US

Jun 21 15:30 Italy