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UK Industrial Production

Discussion in 'Economic Indicator Descriptions' started by Felix Homogratus, Nov 4, 2009.

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  1. Felix Homogratus

    Felix Homogratus Commander in Chief

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    UK Industrial Production comes out once per month at 4:30 am New York Time.

    It measures whether industrial section in the UK did better or worse over previous month. Industrial sector includes factories, mines, and energy providers. If the number is negative, it means that industrial production contracted versus previous month. If the number is positive, it means that industrial production expanded versus previous month.

    Industrial production in the UK constitutes approximately 25% of the entire GDP. When the numbers are higher, it means that the economy is doing better, when the numbers are lower, it means that the economy is doing worse.

    When UK economy is doing better, it means that they are more likely to increase UK interest rate. When interest rate of a country is higher, it attracts investors to buy its currency, which increases the value of the currency versus other currencies.

    So, when Industrial Production comes out better than expected, traders tend to speculatively buy Great British Pounds, so GBP/USD tends to go up. When industrial production comes out worse than expected, traders tend to speculatively sell Great British Pounds, so GBP/USD tends to go down.

    To read more about UK Industrial Production, visit the official website that releases it. The link is Home: UK National Statistics Publication Hub

    I highly recommend you see the history of this indicator and charts of how it affected GBP/USD and other currencies. You can do that by following this link: Forex News Trading | Details and History for GBP Industrial Production m/m

    If you want me to email you 1 day before this report is released, and explain to you in details on how to trade it, then please sign up for my free trading signals by going to this link:
    Forex Daily Trading Signals - Forex Peace Army Forum

    In the signal, I tell you exactly how many pips the currency will most likely move, depending on the difference between expected and actual numbers.
     
    #1 Felix Homogratus, Nov 4, 2009
    Lasted edited by : Sep 8, 2016
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