Open trading account 
This coming Friday the 2nd estimate of GDP in Great Britain will be released. The first round of preliminary data released in July had limited impact – GBP went up about 20 pts against USD over 3 minutes, just to lose all the gains within less than half-hour, albeit losses were quite modest. Lack of positive influence on exchange rate of GBP from quite good GDP numbers would be flabbergasting if interest rate expectations were not taken into account.
The main reason for such a lackluster dynamics of GBP is interest rate expectations among market players. They no longer believe that good GDP numbers are sufficient for prompt actions from BoE meant to increase interest rates.
The revised GDP data might be as good as the preliminary estimation – overpriced GBP is the main reason GDP is going up in deeply indebted economy, fueled by nominal growth of asset prices and consumer borrowing. But even if data is better than expected the change in down trend should not be anticipated. More than that, if GDP numbers will be lowered it might accelerate the downtrend in GBP against most majors, not only USD.
The main reason for such a lackluster dynamics of GBP is interest rate expectations among market players. They no longer believe that good GDP numbers are sufficient for prompt actions from BoE meant to increase interest rates.
The revised GDP data might be as good as the preliminary estimation – overpriced GBP is the main reason GDP is going up in deeply indebted economy, fueled by nominal growth of asset prices and consumer borrowing. But even if data is better than expected the change in down trend should not be anticipated. More than that, if GDP numbers will be lowered it might accelerate the downtrend in GBP against most majors, not only USD.
