GBP Trading Outlook (02-10-2012)
The Sterling (GBP) the GBP/USD underperformed again overnight with the market still in shock after the sharp selling on Friday and we didn’t manage to reclaim 1.6200 even with the mood improving. The source of the weakness is hard to pinpoint but traders point to weak crosses with EUR/GBP in particular overnight breaking back above 0.8000. Looking ahead, September UK Nationwide House Price forecast at 0.0% vs. 1.3% previously. Also EU PPI forecast at 0.5% vs. 0.4% previously.
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