U.K. GDP data

• GDP (m/m), fact 0.3%, previous value 0.0%
• Volume of industrial production (m/m) (July), fact 0.1%, forecast -0.1%.
• The volume of production in the manufacturing industry (m/m) (July), fact 0.3%, forecast -0.1%.
• Trade balance (July), fact -9.14B, forecast-9.60B.

The UK data block was very positive. Despite the coincidence of GDP data with the forecast, it is worth to note the growth in production in the manufacturing industry, which has grown, despite pessimistic expectations and a downward trend. Also a positive note of the report was the data on the trade balance, which continued to reduce the deficit.

Fig. 1. UK manufacturing production chart

 

Thanks to positive data, the British pound returned to growth against most major competitors, remaining limited by the last week high. GBP/USD is limited by resistance levels: 1.2350 and 1.2380, support: 1.2250 and 1.2200.

Fig. 2.  GBP/USD chart. Current price – 1.2320

Read also: “The ECB is preparing a  stimulus package”

Hanzenko Anton

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