GBP

The pound has suffered broad falls this morning after the inflation
rate for the month of October fell to a 13 month low form 2.7% to 2%.

This has been mainly caused the by transport prices falling
by 1.5% partly due to fuel prices.

As a result the pounds gains against the euro from last week
have been erased and against the US dollar we have the rate fall through a level
which has supported the GBPUSD rate for the last two months.

GBP

The pound has suffered broad falls this morning after the inflation
rate for the month of October fell to a 13 month low form 2.7% to 2%.

This has been mainly caused the by transport prices falling
by 1.5% partly due to fuel prices.

As a result the pounds gains against the euro from last week
have been erased and against the US dollar we have the rate fall through a level
which has supported the GBPUSD rate for the last two months.

The UK’s quarterly inflation report is due out tomorrow and
if we see growth forecasts for the UK revised higher, we may well see pound
claw back todays losses.

EUR

German inflation hit a three low following on from the falls
in inflation from the Eurozone as a collective two weeks ago. The news backs up
the European Central Bank’s decision to drop interest rate last week – so in
sense the data was expected.

Today

Data for the rest of the day is fairly subdued.

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