Thursday, May 21, 2009

Goldman Sachs predicts stronger growth in the pound / dollar

The British currency is the beginning of a new day with a fresh push to the months of peak, and although it is now, feeling themselves at a record profit, moving lower, the mood so far has generally been quite good. Dealers noted that some interest in buying now seen around $ 1.5760, while further bidy posted in the area of $ 1.5730 and close to $ 1.5710/00, but they would not preclude the continuation of a downward correction after a fairly strong growth in recent days, especially if the equity markets will felt the advantage of bears. The possibilities of reducing the pound / dollar, meanwhile, does not exclude foreign exchange strategists and Goldman Sachs, they believe that such would be rehabilitative in nature, and confidently state that remained in the camp of the bulls when it comes to longer-term prospects for a pair. The bank believes that the appetite for risk among investors will remain at an acceptable level, which will be a positive development for the pound / dollar, with the GS strategists recommend to pay attention to the fact that the economic statistics from the UK in recent years presents pleasant surprises. In their view, the market has continued to underestimate the degree of improvement in the economy of the Misty Albion, and the adjustment of expectations, investors may provide additional support for the British currency, for which Goldman Sachs advised to stick to long positions with a view to increase initially to $ 1.65, noting that , while they have forecast for the end of the quarter at $ 1.60 by the end of the next, they expect to see growth in the pound / dollar to levels near $ 1.73, while the forecast for the end of the year is $ 1.86.

No comments: