- Sentiment of consumers UOM plunges to 50.8, the lowest since July 2022; The expectations of inflation grow sharply.
- US housing data, import prices are increasing unexpectedly; Powell, Jefferson carefully against premature relaxation.
- UK Data Invalid sheets Sterling Adrift; Merchants are waiting for key inflation UK, Flash PMI and retail sale next week.
Pound Sterling retreats against US dollar During the North American meeting, which has prepared for the end of the week with a minimum loss of over 0.24%. The missing economic dock in the UK on Friday had traders interfered with US data, revealing that consumers were becoming pessimistic about the economy. GBP/USD trades at 1.3276, by 0.39%
GBP/USD waves and is ready to end a week negatively, despite the depressing US consumer data
The University of Michigan recently revealed that the Mayity of May Consumer Sentiment dropped to the lowest level of July 2022, in 50.8, under forecasts to improve to 53.8, from April 52.2. The survey also showed that the expectations of inflation next year increased from 6.5% to 7.3% and jumped from 4.4% to 4.6% in the next five years.
Other US data showed that the import prices in April unexpectedly increased as a result of the increase in investment goods and the weaker US dollar. US housing data was mixed with the beginning of housing in April, while the building permit dropped to almost two years.
GBP/USD delayed responding to American data, but carried under 1.33. On Thursday, Fed chairman Jerome Powell revealed that “certain aspects of Fed’s approach are permanent, such as focusing on inflation expectations”.
Until now, US economic data published during the week have shown development in the process of disinfecting. Fed officials, however, reluctant to alleviate policy because they remained insecure about American business policies, tariffs and their impact on inflation. Fed’s Governor Jefferson stressed that the re -finding of inflation may be temporary or permanent.
On the growth of the queue, Retail In April he continued slowing. However, the latest update from the Atlanta Fed HDP now suggests that the US economy could increase at 2.4%, compared to 2.5% daily, revealed the Atlanta Fed.
Next week, the British economic docket will include the UK Kingdom-European Union meeting along with the release of British inflation data, Flash PMI and retail sales. In the US, a ride Fed Data on speakers, flash PMI and housing data will be eyes.
Graph of GBP/USD Price: Technical outlook
GBP/USD dropped below 1.33 and can close a week under the second. This could prepare a way for a pullback, even if the sellers have to clean the 15th May a minimum of 1.3248 a day to challenge a 50 -day simple moving diameter (SMA) to 1.3112. As far as another weakness is concerned, another support would be a grade of 1.3000.
Conversely, if GBP/USD ends above 1.33, the buyer could try 1.3350. The clear turning point of this level could reveal the top of the year -on -year (YTD) to 1.3443.
British pound price this week
The table below shows the percentage change in the British pound (GBP) against the main currencies this week. The British pound was the strongest against New Zealand.
| USD | Eur | GBP | Jy | CAD | Auditorium | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.89% | 0.34% | -0,19% | 0.63% | 0.35% | 0.90% | 0.58% | |
| Eur | -0.89% | -0.41% | -0.50% | 0.24% | 0.10% | 0.49% | 0.17% | |
| GBP | -0.34% | 0.41% | 0.08% | 0.65% | 0.52% | 0.84% | 0.59% | |
| Jy | 0.19% | 0.50% | -0.08% | 0.82% | -0.09% | 0.23% | 0.54% | |
| CAD | -0.63% | -0.24% | -0.65% | -0.82% | -0.02% | 0.26% | -0.07% | |
| Auditorium | -0.35% | -0.10% | -0,52% | 0.09% | 0.02% | 0.29% | 0.05% | |
| NZD | -0,90% | -0,49% | -0.84% | -0.23% | -0.26% | -0.29% | -0.35% | |
| CHF | -0,58% | -0,17% | -0,59% | -0,54% | 0.07% | -0.05% | 0.35% |
The heat map shows the percentage changes in the main currencies against each other. The basic currency is selected from the left column, while the currency of the menu is selected from the upper row. For example, if you choose a British pound from the left column and move along the horizontal line to the US dollar, the percentage change displayed in the box will be GBP (Base)/USD (Quote).
