US dollar is the top winner in the session today with the EUR/GBP remaining basically flat alternating between gains and losses. EU members have to approve plans for new investments so they made much debate whether the collapse of the economy is caused by inadequate demand, stiff credit conditions, lack of reforms in the economy or insufficient confidence in business; however, EU governments concur that some actions must be done. They have the Juncker plan that will be actively running in mid-2015 and will last for three years that will focus on “feasible European investments of significance” that caters to digital networks, energy and transport, energy and digital networks, plus development and research.
Countries having equity stakes in the planned European Fund for Strategic Investment are promised favorable treatment by Juncker; after the authorities of EU calculates budget deficits that must be lower than 3% of the national output.
The Office for National Statistics said on Friday that the recent 15-month lows, sterling extended losses to fall against the dollar as this factor will probably keep lower interest rates in UK as growing evidence that Britain’s economic growth is moderating. Output of construction declined 2.2% last October following its escalation by the same amount in previous September.