The report detailing the Gross Domestic Product for the UK is set to be issued on Wednesday 27 November 2013. The report will cover Q3 of this year. At this time, many experts do not believe that any significant change in the figures will be noticeable in this report as compared with those found in the Q2 report.
Readers are reminded that the GDP is an important economic indicator for economists hoping to understand the health of the economy. Moreover, it shows the levels of production, consumption and spending that are all considered to be important factors in figuring out the average levels of progress.
Analysts note that the UK has shown strong signs of recovery, with rising housing prices, decent job numbers, and other positive signs of having rebounded from the economic downturn of the past few years.
Traders are advised to watch for added stress on sterling following the release of this report as it will most likely have an effect on its value in trading.
US Durable Goods Report to be Released Wednesday
The American Durable Goods report for the month of October 2013 is due to come out tomorrow Wednesday 27 November 2013. Currently, many experts are expecting to witness a drop in the numbers from those of the previous month.
Analysts believe that the reason for this possible fall in the figures can be traced back to the recent drop in new jobs added during the month of September. As has been noted in previous reports, the durable goods report relates to the orders for items or other products that are expected to last for at least three years. This generally refers to bigger ticket items such as cars, computers, and other things that require a larger expense and confidence on the part of the consumer. As these items are more expensive, the buyer generally needs to feel as if his employment situation is secure enough that he can spend funds on a product that is not needed for his day to day survival such as food or other similar consumer goods.
As such, the rate of durable goods orders have often been taken by economists as indicators on consumer confidence and employment. Investors are also advised to watch for changes in this report as it can help explain spending habits that can affect the value of the dollar in trading. Analysts also believe that due to the increase in jobs that was reported for the month of October, along with the upcoming Christmas shopping season, traders can expect to see increase levels of spending in the report for November 2013.
WTI Enjoys Short Reprieve
Following a massive sell off at the West Texas Intermediate that struck the market at the beginning of the week, reports on 26 November 2013 have emerged showing that the energy market succeeded in making a slight comeback from its earlier losses.
Analysts note that the WTI has been hit with two major factors in recent weeks, pushing down prices. The first has been the increased levels of US stockpiles that have helped to lower demand for crude. The second has been the recently signed interim deal that was signed between the United Nations? Security Council plus Germany (P5+1) and Iran, which has lowered fears over disruptions to the current flow of oil and may perhaps return Iranian crude to the market. Readers are reminded that Iran has been under heavy sanctions over its nuclear program that have blocked its ability to sell its oil on the global market. A return of Iranian crude has ignited fears that it could flood the market, further depressing prices.
Analysts believe that the small bump in prices at the WTI stem from an over zealous selling off of the fuel on Monday. As often occurs when large news items come to light, the market can react in an extreme manner before evening itself out and returning to normal. This process can take time and cause considerable volatility to the market.
Traders are advised to watch for sustained instability in the crude market over the coming days as investors continue to react to the fluctuations in the market.