GBP Continues steady Decline.

Over Monday and into Tuesday morning the GBP continued it’s decline against the USD as investors became increasingly worried about the UK economic output.

GBP (British Pound): The GBP continues to be sold-off by investors as they feel that the UK could be headed towards a possible recession. GBP/USD continues to fall due persistently high CPI coupled and the BoE holding rates and not looking likely to move them down for a while.

Looking ahead to this week the only major release for GBP comes Friday when the UK GDP figures for Q2 will be released. These will be of key interest to see how the UK economy is performing as it attempts to avoid a potential recession.

EUR (Euro): The EUR also struggled against the USD dropping to just below 1.06 this morning. The outlook for the EUR is not as bad as GBP but with lower interest rates set by the ECB many investors are backing the USD over the EUR currently.

The main releases for the EUR come on Friday where German CPI and Eurozone consumer confidence are both being released.

USD (United States Dollar): The USD continued to strengthen yesterday as investors saw the USD as a safe haven. With the Fed holding interest rates for the foreseeable future and a slightly better economic output the USD looks set to maintain this reputation for the time being.

This week for the USD we have the release of consumer confidence on Tuesday followed by Q2 GDP figures released on Thursday.

Economic Calendar