15.04.2020 GBP/USD Daily Analysis

15.04.2020 GBP/USD Daily Analysis

Today GBP/USD is trading at $1.2522 as the USD gains strength against the GBP due to the FED unleashing a massive new lending program overnight. The USD Index went up by 0.2%. A World Economic Outlook report was released, the first since the pandemic started, giving investors a look into just how much the global economy will be affected by the pandemic. The International Monetary Fund predicted that the global GDP will fall by 3% this year, which is the worst since the Great Depression of the 1930s. The UK reported that its budget deficit could blow out over 100 billion GBP. There has been talking of reopening the US economy, however, on Tuesday, more than 2,200 people died from coronavirus just in the US.  Michael McCarthy, chief market strategist at CMC Markets said, “There’s been a flood of money from the Fed, which is the backdrop behind market moves. Trump has made it clear he wants to lift restrictions, and this is what the market wants to hear, but we are nowhere near the all-clear when it comes to this virus.”  Later today the US will release a Retail Sales report which measures the change in the total value of sales at the retail level and is used as an indicator of consumer spending.