{"id":9359,"date":"2010-05-12T07:48:23","date_gmt":"2010-05-12T11:48:23","guid":{"rendered":"http:\/\/countingpips.com\/fx\/?p=9359"},"modified":"2010-05-12T07:48:23","modified_gmt":"2010-05-12T11:48:23","slug":"british-trade-balance-report-set-to-create-market-volatility","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/fx\/2010\/05\/12\/british-trade-balance-report-set-to-create-market-volatility\/","title":{"rendered":"British Trade Balance Report Set to Create Market Volatility"},"content":{"rendered":"<p><em>By Anton Eljwizat <\/em><\/p>\n<p><strong>What is the \u201cTrade Balance\u201d?<\/strong><\/p>\n<p>The British Trade Balance report is an indicator that measures the  difference in value between imported and exported goods and services  during the reported month. A positive number indicates that more goods  and services were exported than imported, and hence supports the  currency. As the economy steadies and oil prices climb, imports are  likely to rise.<\/p>\n<p>This report has two major effects on the  GBP. One \u2013 foreigners that import British goods and services must buy  the local currency to pay for the nation\u2019s exports. Two \u2013 the amount of  exports the nation is producing says a lot about its economy, and  investors are fairly wise to know how to understand these figures. It  means that investors are more likely to invest their funds in countries  that have better exporting data, and therefore create more demand for  the local currency, and this has a direct impact on the value of the  currency.<\/p>\n<p><strong>How This Survey Can Help the British Pound?<\/strong><\/p>\n<p>The government report this week is expected to show that the trade  balance probably widened to -6.5 billion in March, according to  estimates, from -6.2 billion the prior month. Commerce will release the  report on May 13 at 8:30 GMT. If the trade balance data will come  in-line with expectations or higher, the GBP may see its bullish trend  continue based on the trade balance\u2019s value.<\/p>\n<p><strong>How This Survey Can Hurt the British Pound?<\/strong><\/p>\n<p>However, if the number will turn out to be lower than forecasted,  this might weigh on the British currency since it would be consistent  with fears that the British economy is at risk of entering a deeper  economic recession. A negative release of this kind may actually force  the GBP into a bearish correction, testing the 1.4700 level against the  USD in the short-term.<\/p>\n<p><span style=\"text-decoration: underline;\"><strong><em>Forex Market   Analysis<\/em> provided by\u00a0<a href=\"http:\/\/www.forexyard.com\/?zone_id=1398\" target=\"_blank\">Forex                                   Yard.<\/a><\/strong><\/span><\/p>\n<p>\u00a9 2006 by FxYard Ltd<\/p>\n<p>Disclaimer: Trading Foreign Exchange carries a high level of risk and                                   may not be suitable for all investors.       There    is  a              possibility      that     you   could       sustain a  loss   of  all   of    your         investment and            therefore  you        should   not    invest   money  that   you            cannot afford to         lose. You    should    be      aware of     all       the    risks      associated with     Foreign       Exchange        trading.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The British Trade Balance report is an indicator that measures the difference in value between imported and exported goods and services during the reported month. A positive number indicates that more goods and services&#8230;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-9359","post","type-post","status-publish","format-standard","hentry"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/9359","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/comments?post=9359"}],"version-history":[{"count":0,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/posts\/9359\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/media?parent=9359"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/categories?post=9359"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/fx\/wp-json\/wp\/v2\/tags?post=9359"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}