In Tuesday, pair GBP/USD is traded quite interesting: statistic for inflation is strong, but Pound was not glad. In Tuesday, British Pound drops again. Current quotation in GBP/USD - 1.3169.
Today interesting block of statistic from Great Britain was released. Its nature, generally, is positive, but Pound was not impressed somehow. In June, index of producers' prices during vacations in Great Britain descended to -0.4% y/y (+0.2% m/m) against forecast of -0.5% y/y. Index of purchase price increased on 1.8% m/m (-0.5% y/y) in the last month. Indices turn out to be better that expected and that indices in previous month. During June, index of consumer prices in Great Britain grew on 0.5% y/y against 0.4% y/y expected. In monthly comparison, rally is seen too - in June, inflation increased on 0.2% m/m against 0.1% m/m expected.
British inflation is quite interesting thing. It enters in growth stage rapidly and accelerated, rate of it growth is hard to be brought down. In the first and in the second cases, Bank of England succeed very well managing processes effectively. Target of Bank of England, as of any Central Bank in the world, is 2% for CPI.
Reaction of British Pound may be explained by market anticipation regarding subsequent indicators worsening because of Brexit. But it is seemed that panic is premature after all.
Without authorization, you can view no more than two reviews per day and no more than 10 per month. To continue reading analytical reviews, register or login to your Members Area.
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.