GBP/USD: data review ahead of GDP Q3 next week - Scotiabank

Ross J Burland FXStreet

Analysts at Scotiabank explained fundamentals for sterling.

Key Quotes:

"U.K. retail sales stagnated in September, disappointing market expectations of a modest bounce after similarly sluggish August (upwardly revised to -0.1% m/m)."

"July data was very robust, however, so consumers may simply be taking a break (weather-related factors were also attributed to the September result)."

"Strength in consumption early in Q3 should still provide a hefty contribution to growth for the quarter (Q3 GDP next week), our UK rate strategist expects and we look for a decent 0.4% q/q advance in growth which might be good enough to temper near-term BoE easing expectations."

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

EUR/USD trims gains, back below 1.1800

EUR/USD now loses some upside momentum, returning to the area below the 1.1800 support as the Greenback manages to regain some composure following the SCOTUS-led pullback earlier in the session.

GBP/USD off highs, recedes to the sub-1.3500 area

Following earlier highs north of 1.3500 the figure, GBP/USD now faces some renewed downside pressure, revisiting the 1.3490 zone as the US Dollar manages to regain some upside impulse in the latter part of the NA session on Friday.

Gold climbs to weekly tops, approaches $5,100/oz

Gold keeps the bid tone well in place at the end of the week, now hitting fresh weekly highs and retargeting the key $5,100 mark per troy ounce. The move higher in the yellow metal comes in response to ongoing geopolitical tensions in the Middle East and modest losses in the US Dollar.