Forex: GBP/USD down on quiet day for UK updates
_iNVEZZ.com Friday July 12th:_ Sterling started something of a rally against the US dollar in the Asian session today when the pair fell to 1.5122, still the day’s low, with the downtick holding so far in European trading and the pair well off yesterday’s six-day high at 1.5221.
Sterling was yesterday influenced by the Bank of England’s statement that interest rates are likely to remain at the record low 0.5 percent for the foreseeable future on account of continuing weakness in the UK’s economic recovery.
Also yesterday a study released by the Resolution Foundation asserted that 1.25 million British households would be spending half their disposable income on housing loan repayments by 2017 if the Bank of England’s official rate rose two percentage points higher than forecast without a recovery in wage growth.
The only significant data from the UK scheduled for today is the CB Leading Economic Index for June, due out about now at 10:00 BST.
Later in the day comes the US Producer Price Index and PPI excluding food and energy, both for June y/y and m/m.
And the preliminary reading of the Thomson Reuters/University of Michigan Consumer Sentiment Index is due out at 18:00 BST today.