Cyber Monday Deal: Up to 60% off InvestingProCLAIM SALE

Forex – GBP/USD weekly outlook: July 5-9

Published 07/04/2010, 10:39 AM
GBP/USD
-
Investing.com – The week starting July 5 comes after a week during which the pound rose to a 5-week high against the U.S. dollar after Moody's ratings agency indicated it would not downgrade Britain's triple A debt rating.

GBP/USD hit 1.5182 at close of trade on Friday; the pairs highest since May 4, gaining 0.63% on the week. The pair was likely to find support at 1.5011, the low of June 29 and resistance at 1.5344, the high of April 29.

In a statement Moody’s said “the U.K.’s debt affordability would remain consistent with an AAA rating” if the new government was able to successfully implement its austerity measures, but added that the budget-cutting initiatives could have a negative impact on the recovery as the private sector remains weak.

Next week will see the Bank of England announce its benchmark interest rate, and Britain publish key data on the service and manufacturing sectors.

Meanwhile, in the U.S. markets will be closed on Monday for a Bank Holiday. After the holiday, important U.S. data will be released on unemployment claims and non-manufacturing sector growth. Data on consumer credit, wholesale inventories, crude oil inventories and natural gas storage is also due for publication.

Ahead of the coming week, Investing.com has compiled a list of these and other significant events likely to affect GBP/USD. The guide skips Wednesday as there are no relevant events on that day.

Monday, July 5

In the U.S. markets will be closed for the Independence Day holiday.

Britain will begin the week by publishing monthly data on the services sector, a leading indicator of economic growth.

Tuesday, July 6

The U.S. will produce key data on the service sector, a leading indicator of economic growth.

Meanwhile, Britain will produce a report on consumer confidence and publish data on consumer inflation

Thursday, July 8

The Bank of England is to announce its benchmark interest rate. Later in the day, Britain is to produce a report on manufacturing production as well as a an estimate of gross domestic product, a leading indicator of overall economic growth.

Also Thursday, the U.S. will publish key data on initial jobless claims. The U.S. will also publish reports on consumer credit, natural gas storage and crude oil inventories.

Friday, July 9

The U.S. is to publish data on wholesale inventories, a leading indicator of retail demand.

Britain is to produce data on its trade balance, the difference in value between imported and exported goods. The country will also publish key data on consumer inflation, a leading indicator of economic health.


Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.