GBP Trading Outlook (26-07-2012)
The Sterling (GBP) the GBP/USD was smacked lower after Q2 GBP fell quicker than forecast at -0.7% vs. -0.3% forecast by economists. Bad weather was blamed but it is still very negative with the market selling GBP aggressively across the board. The EUR/GBP helped the EUR/USD rally and the important cross finished the day at 0.7840. GBP/USD fell to 1.5460 but had hit a day high of 1.5550 as the EUR/USD moved higher. Looking ahead, German GFK Consumer Sentiment is forecast at 5.8 in August.
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