The pound is being pulled down
02.09.2014
On Tuesday the GBP/USD has once again lost its footing and is falling.
The pound drops again. After a week of stabilization of the GBP/USD it is difficult to believe in: weak data has not been published, the monetary politicians are very reserved in their comments before the meeting of the Bank of England on the coming Thursday. However, the pound is once again testing the March "bottom."
Most likely, the investors are reacting negatively to the information on the possibility of holding a referendum in Scotland on independence. For the UK economy, the year shows a steady growth rate, and such a move would be a serious blow. Therefore, the reactions of market participants are so sharp.
Simultaneously, investors paid no attention to the release by PMI in the UK construction sector – the report is strong, but who cares, if Scotland wants to live separately from the whole of England?
Ahead is the meeting of the Bank of England, which will have the players' attention . If the market will get at least some indication of the time of monetary tightening, activity will return to the pound.
RoboForex Analytical Department
The pound drops again. After a week of stabilization of the GBP/USD it is difficult to believe in: weak data has not been published, the monetary politicians are very reserved in their comments before the meeting of the Bank of England on the coming Thursday. However, the pound is once again testing the March "bottom."
Most likely, the investors are reacting negatively to the information on the possibility of holding a referendum in Scotland on independence. For the UK economy, the year shows a steady growth rate, and such a move would be a serious blow. Therefore, the reactions of market participants are so sharp.
Simultaneously, investors paid no attention to the release by PMI in the UK construction sector – the report is strong, but who cares, if Scotland wants to live separately from the whole of England?
Ahead is the meeting of the Bank of England, which will have the players' attention . If the market will get at least some indication of the time of monetary tightening, activity will return to the pound.
RoboForex Analytical Department
Attention!
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.