Pound Retreats As U.K. Industrial Output Growth Slows
11 Aprile 2018 - 10:01AM
RTTF2
The pound dropped against its major counterparts in the European
session on Wednesday, after a data showed that the UK industrial
production grew at a slower pace on weak mining and manufacturing
output in February.
Data from the Office for National Statistics showed that
industrial output edged up 0.1 percent month-on-month in February,
compared to January's 1.3 percent increase. Production was expected
to climb 0.4 percent.
Manufacturing output dropped 0.2 percent confounding
expectations for a growth of 0.2 percent. This was the first
decrease since March 2017. Output had remained flat in January.
Meanwhile, separate data showed that the UK visible trade
deficit narrowed to a 5-month low in February.
The trade in goods showed a shortfall of GBP 10.2 billion in
February versus a GBP 12.2 billion deficit posted in January. This
was the lowest shortfall since last September.
Caution prevailed following reports that U.S. President Donald
Trump is considering more aggressive strike in Syria within the
next 48 hours.
Russia has threatened to shoot down any U.S. missiles fired at
neighboring Syria if the U.S. decides to strike Syrian bases in
response to a chemical attack.
The currency showed mixed trading against its major rivals in
the Asian session. While it held steady against the euro and the
franc, it rose against the greenback. Against the yen, it
dropped.
The pound retreated to 1.4181 against the greenback, from a new
2-week high of 1.4223 hit at 3:30 am ET. The pound is likely to
find support around the 1.38 region.
Having advanced to near a 2-year high of 1.3641 against the
Swiss franc at 3:45 am ET, the pound reversed direction and was
trading at 1.3575. The next possible support for the pound is seen
around the 1.33 level.
The pound dropped to 151.35 against the yen, off its early
2-month high of 152.25. The pound is seen finding support around
the 150.00 region.
Data from the Bank of Japan showed that Japan's producer prices
fell 0.1 percent on month in March.
That was in line with expectations following the upwardly
revised 0.1 percent increase in February.
The pound slid to a 5-day low of 0.8737 against the euro, after
advancing to 0.8700 at 4:15 am ET. On the downside, 0.89 is seen as
the next support level for the pound.
Looking ahead, U.S. CPI for March, FOMC minutes from March 20-21
meeting and monthly budget statement are scheduled for release in
the New York session.
Grafico Cross Sterling vs Yen (FX:GBPJPY)
Da Feb 2024 a Mar 2024
Grafico Cross Sterling vs Yen (FX:GBPJPY)
Da Mar 2023 a Mar 2024