9.09 - GBP/USD is starting a week with a selloff
- by Anna K.
What is GDP? Essentially it is an indicator that explains us how strong the economy of the country is. The higher it is, the better the condition of economy is, the stronger the national currency is. And right now we are turning our attention towards Great Britain – a country that is going to publish is GDP numbers today. And we have all the rights to worry about the GDP of the UK today as we have already seen the turbulence surrounding the country. Despite the growth that we have seen last week right now GBP is too vulnerable and absolutely any piece of bad information can send it over the edge and cause the fall. That is why GDP is so important to us today.
Right now GBP/USD is not exactly feeling well. Last week’s growth is nowhere to be seen and we are not only left with the anticipation of GDP report, we are also left with it with weakening pound. Of course it is hard to imagine another scenario with MPs passing the bill requiring the postponing of Brexit and traders still rooting for the currency. It is natural that we were going to see the selloff, but it is the threat of it getting stronger – that is what really bothers us today.