News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
More View more
GBP/USD Plunges To Fresh Session Low After UK Industrial Output Slows

GBP/USD Plunges To Fresh Session Low After UK Industrial Output Slows

Edward Hyon,

Talking Point:

  • UK Industrial Production: (MoM) -0.7% Actual Vs 0.3% Estimated; 0.4% Prior.
  • UK Industrial Production (YoY) 2.3% Actual Vs 3.2% Estimated; 3.0% Prior.
  • GBP/USD Hits Session Low as it Falls 50 pips and Breaks below 1.7100.

Want to trade with proprietary strategies developed by FXCM? Find out how here.

UK Industrial Production, which measures the output of the mining, quarrying and manufacturing industries, registereda 2.3 percent increase year-on-year in May. The short-term gauge of strength in industrial activity decelerated from the prior month’s reading of 2.9 percent and fell short of market expectations of 3.2 percent. Similarly, the month-on-month reading fell sharply from the prior month’s reading of 0.3 percent as it crossed the wires at negative 0.7 percent. This was a significant miss from economists’ expectations for a 0.3 percent increase in a marked degree.

Following the release of the UK Industrial Production figures, GBP/USD plunged to a fresh session low to trade below the psychologically significant 1.7100 level. The Pound lost over 50 pips against the US Dollar to trade at 1.7086. This extensive reaction may have been due to a downward surprise in the UK economic data as the general consensus was for a firm outcome, amid traders speculating about a looming Bank of England (BOE) interest rate hike says DailyFX Currency Strategist Ilya Spivak

DailyFX Currency Analyst David de Ferranti discusses in his Forex Candlestick Summary of nearby noteworthy support at 1.7100 with resistance at 1.7170.

GBP/USD 5 Minute Chart

GBP/USD Plunges To Fresh Session Low After UK Industrial Output Slows

Daily Chart - Created Using FXCM Marketscope 2.0, Volume Indicator Available Here

DailyFXprovides forex news and technical analysis on the trends that influence the global currency markets.Learn forex trading with a free practice account and trading charts fromFXCM.

New to FX? START HERE!

Edward Hyon, DailyFX Research Team

Keep up to date on event risk with DailyFX Calendar

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES