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GBP Trading Outlook (24-03-2011)

The Sterling (GBP) the UK budget was bearish with downgrades to the economic outlook hurting the GBP/USD. EUR/GBP was able to fall though with the Euro outpacing to the downside and many players are happy to buy cable on weakness. Overall the GBP/USD traded with a low of 1.6217 and a high of 1.6388 before closing the day at 1.6250 in the New York session. Looking ahead, February Retail Sales are forecast at -0.6% vs. 1.6% previously.

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