GBP/USD Fundamental Analysis – November 16, 2015 – Forecast

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Published: Nov 13, 2015, 12:43 UTC

Analysis and Recommendations: The GBP/USD is trading flat at 1.5225 holding on the Thursday’s gains as the US dollar regains some of its lost momentum as

GBP/USD Fundamental Analysis – November 16, 2015 – Forecast

Analysis and Recommendations:

The GBP/USD is trading flat at 1.5225 holding on the Thursday’s gains as the US dollar regains some of its lost momentum as traders sold off and booked profits after the US dollar soared over the past sessions. Today the greenback has regained a bit of its strength but the pound was able to hold firm as traders continue to look at this week’s positive UK jobs data. Most of the headlines are now focusing on UK-EU negotiations.

Comments from UK Prime Minister David Cameron earlier this week suggested that his negotiations with other euroland nations aimed at achieving a looser relationship with Brussels are not progressing well.

The British Premier hinted that if his team were not able to secure substantial concessions from Europe, then the UK’s ruling Conservative party might not necessarily support the ‘remain’ campaign in the ‘in / out’ EU referendum which must take place before the end of 2017.

Economists estimate that a ‘Brexit’ from the European Union would cause UK economic activity to slump by between 8 – 10% – an outcome which would see Sterling hammered in the currency 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.

Today’s economic releases:

Cur.	Event	Actual	Forecast	Previous
JPY	Industrial Production (MoM) (Sep)	1.1%	1.0%	1.0%
JPY	Tertiary Industry Activity Index (MoM)	-0.4%	0.2%	0.2%
EUR	German GDP (YoY) (Q3)	1.8%	1.8%	1.6%
EUR	German GDP (QoQ) (Q3)	0.3%	0.3%	0.4%
EUR	GDP (YoY) (Q3)	1.6%	1.7%	1.5%
EUR	GDP (QoQ) (Q3)	0.3%	0.4%	0.4%
EUR	Trade Balance (Sep)	20.5B	18.2B	11.2B
USD	Core PPI (MoM) (Oct)		0.1%	-0.3%
USD	Core Retail Sales (MoM) (Oct)		0.4%	-0.3%

Upcoming Economic Events that you should be monitoring:

Monday, November 16, 2015

Cur.	Event	Actual	Forecast	Previous
NZD	Retail Sales (QoQ) (Q3)			0.1%
JPY	GDP (QoQ) (Q3)		-0.1%	-0.3%
JPY	GDP (YoY) (Q3)		-0.2%	-1.2%
EUR	Core CPI (YoY) (Oct)			0.9%
EUR	CPI (YoY) (Oct)
EUR	CPI (MoM) (Oct)		0.1%	0.2%
USD	NY Empire State Manufacturing Index		-5.00	-11.36