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Forex pairs in this Article » GBP/USD, EUR/GBP (London) - EUR/GBP remains in a bullish trend despite little in the way of major macro data released today.

Stronger than expected Italian industrial orders

Italian industrial orders surprised this morning with a big surge in demand despite the broader contraction happening within the Italian economy.

November industrial orders rose by 2.3 percent month-on-month, according to Italian national statistics agency Istat.

The gains offset October’s 2.3 percent drop.

Domestic orders rose 4.1%, while foreign orders dropped 0.4% from October

The strong industrial orders numbers suggested surprisingly strong business confidence in the face of Italian credit contraction.

Wednesday is crunch time for GBP

On the GBP leg, markets are focussed on Wednesday’s packed day of macro data and central bank announcements. The biggest focus will be on employment numbers as well as the release of the Bank of England monetary policy committee minutes from its 10 January meeting. The UK unemployment rate expected to fall another 0.2 percent to 7.2 percent, bringing it into touching distance of Mark Carney’s 7.0 percent threshold for the possibility of a rate hike. The minutes will be under scrutiny for clues as to whether the BoE intends to lower this threshold and allow the momentum of declining unemployment to run further before it increases base rates.

EUR/GBP is currently trading at GBP0.8251, up 0.08 percent on the day, falling from post-Italian industrial orders highs at GBP0.8253
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