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This is the biggest ever single day sale for Bangalore-based Flipkart, since the time the company started in 2007. October 05, 2016 / 15:21 IST Priyanka Sahaymoneycontrol.com E-commerce firm Flipkart recorded sales worth around USD 200 million on Monday, its highest-ever single-day sale in the company’s history, a spokesperson for the company has told moneycontrol.com.The sales are likely the results of a massive advertising campaign run by the company ahead of the upcoming festive season in India. As per market estimates, e-tailers such as Flipkart are expected to spend around Rs 400-Rs 500 crore in advertising during October, more than three times the usual money spent in steady state, according to research and advisory firm RedSeer Consulting.This is the third Big Billion Days sale being run by Flipkart. Analysts say e-commerce sales this season may be a make-or-break for many Indian online retail firms, especially Flipkart, which competes with US giant Amazon.In June, Amazon, Inc announced an additional investment of USD 3 billion into its Indian unit. This comes after it exhausted its investment of USD 2 billion announced in July 2014.This fresh infusion of funds comes at a time when homegrown e-commerce firms are struggling to raise money.So far, Flipkart seems to have trumped peers, at least when it comes to pricing strategy for mobile phones. According to a report by Bangalore-based research firm RedSeer, Flipkart reported lowest median prices across popular non-exclusive mobile stock keeping units listed on its platform compared to Amazon and Snapdeal on Monday. The median price for non-exclusive mobile phone stood at Rs 7,500 on Flipkart compared to Rs 7,900 and Rs 7,800 on Amazon and Snapdeal, respectively. Amazon, however, led the race when it came to consumer, electronics and large appliances segment. The same was reported to be Rs 4,050 for Amazon Rs 4,200 for Flipkart and Rs 4,300 for Snapdeal, RedSeer said.According to RedSeer, television continued to be the primary source that has created awareness about the festive sales to people. Nearly 68 percent of the total people surveyed said they were aware of the ongoing festive sales of at least one of the e-commerce firms. Of it, 64 percent said they got to know about the sales through television ads. Social media followed by making 49 percent people aware of the same, as per the RedSeer survey. Snapdeal and Amazon did not immediately respond to a query by moneycontrol.com. Discover the latest Business News, Budget 2025 News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated! Read More

“Allowing imports of cement from Pakistan, therefore, carried with it the additional risk in that it provides an effective cover for smuggling of contraband goods and harmful weapons and ammunition concealed in cement bags which comes in rakes and trucks, in the hands of disruptionist elements,” he said. October 05, 2016 / 15:06 IST Amidst rising tension, BJP leader and Rajya Sabha MP Subramanian Swamy has urged Prime Minister Narendra Modi to ban import of cement from Pakistan in the interest of domestic industry and national security. “I request you to ban import of cement into the country not only in the interest of growth and sustenance of domestic cement industry but also in keeping with the imperatives of national security. Ban of import from Pakistan will be in the interest of the country’s security in the present juncture,” Swamy said in a letter to Modi. He said import of cement without levy of customs duty was introduced in 2007 to augment supply in view of high demand. He said the situation has since changed and the domestic industry has added a lot of capacity which is not being utilised, with around 116 million tonnes cement capacity lying idle due to stagnating demand in the country. He also referred to reports of recovery of drugs like heroin and fake Indian currency notes concealed in cement bags imported from Pakistan. “Allowing imports of cement from Pakistan, therefore, carried with it the additional risk in that it provides an effective cover for smuggling of contraband goods and harmful weapons and ammunition concealed in cement bags which comes in rakes and trucks, in the hands of disruptionist elements,” he said. The BJP leader said the industry today has a capacity utilisation of less than 70 percent with units in South India posting even lesser capacity utilsation. He further said that capital investment of more than Rs 90,000 crore required for creation of this capacity is lying stranded. “India has become a dumping ground for imported cement, particularly from Pakistan, China and Bangladesh. It is ironical that while on every front Pakistan continues to trouble us, India continues to allow duty-free import of cement from Pakistan at the cost of Indian cement industry,” he said. Swamy said importing cement with higher margins from Pakistan also goes against the ‘Made in India concept’… This also strikes at the very root of your vision of the concept of ‘Making in India’,” he said. The BJP leader said there is reverse charge duty structure as material required for cement manufacture attracts import duty while the finished product is not. Discover the latest Business News, Budget 2025 News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated! Read More

HomeNewsBusinessCompaniesMoneycontrol Exclusive: Govt plans overhaul of tax administration for smooth GST rollout The government has readied plans for a major change in India‘s tax administration structure, including overhauling the Central Board of Excise and Customs (CBEC) to ensure a glitch-free roll-out of a nation-wide goods and services tax (GST). October 06, 2016 / 07:58 IST Gaurav Choudhurymoneycontrol.com The government has readied plans for a major change in India’s tax administration structure, including overhauling the Central Board of Excise and Customs (CBEC) to ensure a glitch-free roll-out of a nation-wide goods and services tax (GST). The plan, reviewed by Moneycontrol, includes setting up of empowered GST commissionerates within the CBEC that will be tasked with administering the new tax system. GST, billed as India’s most ambitious reforms move, will stitch together a common national market, dismantle fiscal barriers among states and consolidate a patchwork of local and central duties into a single levy. The government expects to roll out GST from April 1, 2017. For the purposes of administration, the country will be divided into 24 zones and 107 GST commissionerates. Each commissionerate will have oversight rights over 15,000-20,000 assessees with combined revenues of about Rs 5000 crore. Every state, except those with very small assessee-base, will have at least one commissionerate, which will be broken down into five divisions and 50 ranges for each. Besides, there will be one audit and one appeal commissioner for every GST commissionerate. With 3.34 lakh assesses, Mahrashtra will have 20 GST commissionerates—the highest among all states. A Directorate General of Dispute Resolution (DGDR) will also be set up, to deal with possible Centre-state and inter-state rows that may arise after the new tax system kicks in. The DGDR will maintain data bank of judicial decisions, analyse dispute issues for identifying patterns and examine orders to assess fitness for appeals among others. Separate adjudication verticals will be set up in seven major cities– in Delhi, Gandhinagar, Mumbai, Bangalore, Chennai, Hyderabad and Kolkata–reporting directly to DGDR—Delhi, Gandhinagar, Mumbai, Bangalore, Chennai, Hyderabad and Kolkata. A new sleuthing unit—Directorate General of GST Intelligence (DGSTI)—will be set up tasked with keeping a close eye on compliance and detecting and collating information on tax. There will be at least one unit of DGSTI, which will replace the existing Directorate General of Central Excise Intelligence (DGCEI). The existing Customs and Service Appellate Tribunal (CESTAT), however, a judicial body, will continue to run concurrently to deal with legacy cases, some which go back more than a decade. Discover the latest Business News, Budget 2025 News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated! Read More

Asian Paints, SBI, Tata Motors, HUL and Maruti Suzuki are top gainers while ONGC, Axis Bank, M&M, Bajaj Auto and Hero MotoCorp are major losers in the Sensex. October 05, 2016 / 15:42 IST Moneycontrol Bureau3:30 pm Market closing: After a lot of struggle, the market has ended lower. The Sensex was down 113.57 points or 0.4 percent at 28220.98, and the Nifty slipped 25.20 points or 0.3 percent at 8743.95. About 1721 shares advanced, 1158 shares declined, and 131 shares were unchanged. HUL, Tata Motors, Asian Paints, L&T and NTPC were gainers in the Sensex while ONGC, Axis Bank, Bajaj Auto, M&M and Hero MotoCorp were losers. 2:55 pm RBI rate cut: A day after the monetary policy committee (MPC) debuted with a surprise 0.25 percent cut in rates, analysts today said the Reserve Bank will continue with the accommodative stance but the next action can come only in the February review. In a note, domestic rating agency Icra said it expects the rate easing cycle to continue. “With the indication that real interest rates (the differential between the key lending rate and inflation) may need to be lower than 1.50 percent given prevailing global scenario of negative rates, further easing by the Monetary Policy Committee (MPC) can’t be ruled out,” its senior vice president Karthik Srinivasan said, adding that he is uncertain over the timing.2:45 pm Metals buzzing2:30 pm Deal: Anil Ambani-led Reliance Infrastructure today signed an agreement to sell its power transmission assets to Adani Group for over Rs 2,000 crore. Reliance Infra owns two electricity transmission lines spanning Maharashtra, Gujarat, Madhya Pradesh and Karnataka and has a 74 percent stake in another in Himachal Pradesh and Punjab. “Reliance Infrastructure Ltd (RInfra) today announced the signing of a binding term sheet with Adani Transmission Ltd (ATL) for 100 percent stake sale of its transmission assets,” the company said in a statement here. While the two companies did not give valuation of the deal, banking sources said the sale consideration was in excess of Rs 2,000 crore. Don’t miss: Automation threatens 69% jobs in India: World Bank The market remains sluggish as the Sensex is down 87.16 points or 0.3 percent at 28247.39 and the Nifty is down 23.15 points or 0.3 percent at 8746. About 1655 shares have advanced, 1077 shares declined, and 122 shares are unchanged. Asian Paints, SBI, Tata Motors, HUL and Maruti Suzuki are top gainers while ONGC, Axis Bank, M&M, Bajaj Auto and Hero MotoCorp are major losers in the Sensex. SBI, Force Motors, Vakrangee and Hindustan Zinc are most active stocks in the BSE. Tirthankar Patnaik, India Strategist at Mizuho Bank says there is a definite scope for further easing even though the Reserve Bank’s monetary policy did not specifically mention it in its statement on Tuesday, said RBI lowering the real rate to 125 basis points leaves significant scope for further easing, he said. “Going forward in the monetary policy report, we notice that they are looking at a 4.5 percent figure for March 2018 and now on 4.5 percent you put a 125 bps real rate gives you 5.25 percent on the policy which essentially means that even from current levels you still have another 50 bps to go over the next year in terms of incremental easing,” Patnaik added. Discover the latest Business News, Budget 2025 News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated! Read More

ixigo, India‘s leading mobile travel marketplace has announced partnerships with Uber and redBus to enable instant bookings for cabs and buses natively within ixigo trains app. October 05, 2016 / 15:23 IST ixigo, India’s leading mobile travel marketplace has announced partnerships with Uber and redBus to enable instant bookings for cabs and buses natively within ixigo trains app. The partnership gives Uber and redBus a reach of 10 million train travellers who have installed India’s most popular train information search app for Android.ixigo’s train app users will now be able to register for Uber and book a ride, even if they haven’t installed the Uber app on their device. Similarly, they will be able to view bus schedules, choose boarding / drop-off points, select their seats on the bus, make payments and book redBus bus seats without leaving the ixigo trains app. When a confirmed train PNR exists on the user’s phone, the app contextually reminds users to book an Uber just before departure from their origin and upon arrival at their destination city. If a user’s desired train ticket is waitlisted or unavailable, they are also reminded about the prices and availability of buses for that route via redBus. Speaking on the launch, Aloke Bajpai, ixigo Co­founder & CEO said – “We are very excited about the possibilities these partnerships unfold. Over 8 billion train trips happen every year in India, and local travel to and from the railway station forms an important part of the overall journey experience. In that spirit, we have partnered with the global market leader, Uber, to build a seamless pre and post trip experience. For users who are looking for an alternative to trains, buses are the next most affordable and convenient mode of transport. Our partnership with redBus, India’s market leading bus ticketing company, offers ixigoers more choice & flexibility for planning their travel.” Commenting on the partnership, Nandini Maheshwari, India Business Development Lead, Uber said – “We are really excited about partnering with ixigo to offer their customers a seamless and hassle free road travel experience, to and from railway stations in over 28 cities across India. We are rolling out special promotions for riders taking their first Uber ride through ixigo trains app and encouraging them to travel around the city at the push of a button.” Manoj Agarwala, Vice President, redBus added – “Train travellers often face the frustration of being waitlisted, and buses are a common substitute for train travel in India. ixigo’s market-leading train app will now offer comfortable bus seats with state and private bus operators across 70,000 bus routes in India. This partnership opens up a valuable new market segment for redBus.” Invite your friends and family to sign up for MC Tech 3, our daily newsletter that breaks down the biggest tech and startup stories of the day Discover the latest Business News, Budget 2025 News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated! Read More

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page. If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet. FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted. The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice. Editors’ Picks EUR/USD remains offered below 1.1650 EUR/USD remains on the back foot on Thursday, coming under pressure and slipping back to daily lows near 1.1640 on the back of the US Dollar’s marked comeback. The greenback manages to regain traction in reaction to stronger statistics from the US wholesale inflation and the weekly labour market. GBP/USD eases to daily troughs near 1.3520 The Greenback’s sharp bounce has put the risk complex under scrutiny, driving GBP/USD to daily lows in 1.3530-1.3520 band on Thursday.  Furthermore, auspicious resulst from the UK docket earlier in the day have failed to lift the British Pound, contributing to Cable’s fall. Gold looks weak near $3,340 Persistent selling pressure keeps Gold on the defensive near the $3,330 region per troy ounce, or weekly lows, on Thursday.  The precious metal’s downward impulse coincides with the US Dollar’s strong performance and increasing US yields across the board. Five reasons why Trump’s trade war is likely to escalate Buoyant markets, a resilient US economy, rising customs revenues, appeasement by trading partners and conducive politics point to further escalation in US trade tensions, already set to cut global output by an estimated 0.7pps in the medium term. Best Brokers for EUR/USD Trading SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you’re a beginner or an expert, find the right partner to navigate the dynamic Forex market. Read More

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page. If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet. FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted. The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice. Editors’ Picks EUR/USD remains offered below 1.1650 EUR/USD remains on the back foot on Thursday, coming under pressure and slipping back to daily lows near 1.1640 on the back of the US Dollar’s marked comeback. The greenback manages to regain traction in reaction to stronger statistics from the US wholesale inflation and the weekly labour market. GBP/USD eases to daily troughs near 1.3520 The Greenback’s sharp bounce has put the risk complex under scrutiny, driving GBP/USD to daily lows in 1.3530-1.3520 band on Thursday.  Furthermore, auspicious resulst from the UK docket earlier in the day have failed to lift the British Pound, contributing to Cable’s fall. Gold looks weak near $3,340 Persistent selling pressure keeps Gold on the defensive near the $3,330 region per troy ounce, or weekly lows, on Thursday.  The precious metal’s downward impulse coincides with the US Dollar’s strong performance and increasing US yields across the board. Five reasons why Trump’s trade war is likely to escalate Buoyant markets, a resilient US economy, rising customs revenues, appeasement by trading partners and conducive politics point to further escalation in US trade tensions, already set to cut global output by an estimated 0.7pps in the medium term. Best Brokers for EUR/USD Trading SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you’re a beginner or an expert, find the right partner to navigate the dynamic Forex market. Read More

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page. If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet. FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted. The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice. Editors’ Picks EUR/USD remains offered below 1.1650 EUR/USD remains on the back foot on Thursday, coming under pressure and slipping back to daily lows near 1.1640 on the back of the US Dollar’s marked comeback. The greenback manages to regain traction in reaction to stronger statistics from the US wholesale inflation and the weekly labour market. GBP/USD eases to daily troughs near 1.3520 The Greenback’s sharp bounce has put the risk complex under scrutiny, driving GBP/USD to daily lows in 1.3530-1.3520 band on Thursday.  Furthermore, auspicious resulst from the UK docket earlier in the day have failed to lift the British Pound, contributing to Cable’s fall. Gold looks weak near $3,340 Persistent selling pressure keeps Gold on the defensive near the $3,330 region per troy ounce, or weekly lows, on Thursday.  The precious metal’s downward impulse coincides with the US Dollar’s strong performance and increasing US yields across the board. Five reasons why Trump’s trade war is likely to escalate Buoyant markets, a resilient US economy, rising customs revenues, appeasement by trading partners and conducive politics point to further escalation in US trade tensions, already set to cut global output by an estimated 0.7pps in the medium term. Best Brokers for EUR/USD Trading SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you’re a beginner or an expert, find the right partner to navigate the dynamic Forex market. Read More

Avino Silver came out with quarterly earnings of $0.06 per share, beating the Zacks Consensus Estimate of $0.02 per share. This compares to earnings of $0.03 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +200.00%. A quarter ago, it was expected that this company would post earnings of $0.03 per share when it actually produced earnings of $0.07, delivering a surprise of +133.33%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Avino Silver, which belongs to the Zacks Mining – Silver industry, posted revenues of $21.81 million for the quarter ended June 2025, surpassing the Zacks Consensus Estimate by 21.82%. This compares to year-ago revenues of $14.79 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock’s immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management’s commentary on the earnings call. Avino Silver shares have added about 343.8% since the beginning of the year versus the S&P 500’s gain of 9.6%. What’s next for Avino Silver? While Avino Silver has outperformed the market so far this year, the question that comes to investors’ minds is: what’s next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company’s earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Avino Silver was favorable. While the magnitude and direction of estimate revisions could change following the company’s just-released earnings report, the current status translates into a Zacks Rank #1 (Strong Buy) for the stock. So, the shares are expected to outperform the market in the near future.  It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.03 on $18.9 million in revenues for the coming quarter and $0.17 on $84.3 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Mining – Silver is currently in the top 7% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Want the latest recommendations from Zacks Investment Research? Download 7 Best Stocks for the Next 30 Days. Click to get this free report Past performance is no guarantee of future results. Inherent in any investment is the potential for loss. This material is being provided for informational purposes only and nothing herein constitutes investment, legal, accounting or tax advice, or a recommendation to buy, sell or hold a security. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. It should not be assumed that any investments in securities, companies, sectors or markets identified and described were or will be profitable. All information is current as of the date of herein and is subject to change without notice. Any views or opinions expressed may not reflect those of the firm as a whole. Zacks Investment Research does not engage in investment banking, market making or asset management activities of any securities. These returns are from hypothetical portfolios consisting of stocks with Zacks Rank = 1 that were rebalanced monthly with zero transaction costs. These are not the returns of actual portfolios of stocks. The S&P 500 is an unmanaged index. Visit https://www.zacks.com/performance for information about the performance numbers displayed. Read More

EUR/GBP weakens to near 0.8615 in Thursday’s early European session. UK preliminary GDP grew 0.3% QoQ in Q2 2025, stronger than expected.  A higher-for-longer view on ECB rates might cap the EUR’s downside.  The EUR/GBP cross loses ground to around 0.8615 during the early European session on Thursday. The Pound Sterling (GBP) strengthens against the Euro (EUR) after the release of UK Gross Domestic Product (GDP) data. The attention will shift to the preliminary reading of the GDP report for the second quarter (Q2) from the Eurozone, which is due later on Thursday. Data released by the Office for National Statistics (ONS) on Thursday showed that the UK economy grew 0.3% QoQ in the second quarter of 2025, compared to a 0.7% growth in the first quarter. This figure came in better than the estimation of a 0.1% increase in the reported period.   Meanwhile, the UK GDP expanded 1.2% YoY in Q2 versus 1.3% prior. This reading was above the market consensus of 1.0%. The monthly UK GDP arrived at 0.4% in June, following a 0.1% decline in May, stronger than the 0.1% expected. The GBP attracts some buyers in an immediate reaction to the upbeat UK GDP data.  On the Euro front, investors are increasingly pricing in a “higher for longer” interest rate environment from the European Central Bank (ECB), which could help limit the shared currency’s losses. Forward contracts on the ECB’s official overnight benchmark interest rate, the euro short-term rate (ESTR), imply around a 60% odds of a 25 basis points (bps) rate reduction by March and a deposit rate of 1.92% in December 2026. GDP FAQs A country’s Gross Domestic Product (GDP) measures the rate of growth of its economy over a given period of time, usually a quarter. The most reliable figures are those that compare GDP to the previous quarter e.g Q2 of 2023 vs Q1 of 2023, or to the same period in the previous year, e.g Q2 of 2023 vs Q2 of 2022. Annualized quarterly GDP figures extrapolate the growth rate of the quarter as if it were constant for the rest of the year. These can be misleading, however, if temporary shocks impact growth in one quarter but are unlikely to last all year – such as happened in the first quarter of 2020 at the outbreak of the covid pandemic, when growth plummeted. A higher GDP result is generally positive for a nation’s currency as it reflects a growing economy, which is more likely to produce goods and services that can be exported, as well as attracting higher foreign investment. By the same token, when GDP falls it is usually negative for the currency. When an economy grows people tend to spend more, which leads to inflation. The country’s central bank then has to put up interest rates to combat the inflation with the side effect of attracting more capital inflows from global investors, thus helping the local currency appreciate. When an economy grows and GDP is rising, people tend to spend more which leads to inflation. The country’s central bank then has to put up interest rates to combat the inflation. Higher interest rates are negative for Gold because they increase the opportunity-cost of holding Gold versus placing the money in a cash deposit account. Therefore, a higher GDP growth rate is usually a bearish factor for Gold price. Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page. If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet. FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted. The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice. Read More