GBP/USD Fundamental Analysis – November 23, 2015 – Forecast

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Published: Nov 20, 2015, 14:24 UTC

Analysis and Recommendations: The GBP/USD dipped 43 points to 1.5248 as the greenback regained momentum. The U.K.’s uneven economic recovery has done

GBP/USD Fundamental Analysis – November 23, 2015 – Forecast

Analysis and Recommendations:

The GBP/USD dipped 43 points to 1.5248 as the greenback regained momentum. The U.K.’s uneven economic recovery has done little to hinder the pound’s resilience.

A trade-weighted index of the currency reached its highest level since August on Friday, even after reports this week showed retail sales fell more than economists forecast in last month, inflation stayed below zero and Britain recorded the largest budget deficit for any October since 2009.

Nationwide Building Society, the U.K.’s second-largest mortgage provider, said lending increased 14 percent in the first half, fueled by loans to landlords in the nation’s booming housing sector.

Gross lending increased to 14.9 billion pounds ($23 billion) in the six months through September from 13.1 billion pounds a year earlier, the Swindon, England-based lender said in a statement on Friday. Buy-to-let lending jumped 32 percent to 2.9 billion pounds, representing a 15 percent share of the U.K. market. Pretax profit increased 34 percent to 802 million pounds.

Bank of England Governor Mark Carney has said regulators are closely monitoring a boom in the buy-to-let sector amid concerns it could pose a risk to financial stability. While he imposed tougher criteria for lending to owner-occupiers last year, he hasn’t yet introduced restrictions to slow the pace of lending to landlords.

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	BoJ Monthly Report
EUR	German PPI (MoM) (Oct)	-0.4%	-0.2%	-0.4%
EUR	ECB President Draghi Speaks
EUR	German Buba President Weidmann
USD	FOMC Member Bullard Speaks
USD	FOMC Member Dudley Speaks

Upcoming Economic Events that you should be monitoring:

Monday, November 23, 2015

Cur.	Event	Actual	Forecast	Previous
	Japan – Labour Thanksgiving Day
EUR	German Manufacturing PMI (Nov)		52.1	52.1
EUR	German Services PMI (Nov)		54.3	54.5
EUR	Manufacturing PMI (Nov)		52.3	52.3
EUR	Markit Composite PMI (Nov)			53.9
EUR	Services PMI (Nov)		54.0	54.1
EUR	Eurogroup Meetings
USD	Manufacturing PMI (Nov)			54.1
USD	Existing Home Sales (Oct)		5.44M	5.55M
USD	Existing Home Sales (MoM) (Oct)			4.7%