United Kingdom GBP

United Kingdom Queen's Speech at The Parliament

Impact:
Low

Latest Release:

Date:
Actual:
 
Forecast:
Previous/Revision:  
Period:
What Does It Measure?
The United Kingdom's Queen's Speech at the Parliament measures the government's legislative agenda and priorities for the upcoming parliamentary session, explicitly detailing proposed laws and policies. It assesses key areas such as governance, economic policy, public services, and societal reforms, which can influence employment, investment, and public sentiment.
Frequency
The Queen's Speech is delivered annually during the State Opening of Parliament, typically in May, and is a final version that outlines the government's intentions for the parliamentary year ahead.
Why Do Traders Care?
Traders pay close attention to the Queen's Speech as it can significantly impact the UK financial markets, affecting the value of the British Pound and influencing investor sentiment towards UK equities. Positive announcements regarding economic growth, business investment, and social welfare can lead to bullish market reactions, whereas policies perceived as negative or restrictive may trigger bearish responses.
What Is It Derived From?
The speech is derived from consultations among government officials, policy advisors, and various ministries, incorporating economic forecasts and public feedback. It reflects the government's agenda, shaped by its political platform and current socio-economic context, often based on comprehensive market and societal analysis.
Description
The Queen's Speech serves as a key communication tool for the British government to articulate its legislative agenda and establish the direction of future policies. It impacts various sectors by outlining promises and initiatives that affect employment, economic growth, and public services, and it is seen as an essential indicator of the government's priorities.
Additional Notes
The Queen's Speech is considered a leading economic measure as it provides insight into potential legislative changes that may influence the UK’s economic direction. It is closely watched not just in the context of the UK economy but also in relation to broader global economic trends and policies executed by other nations.
Bullish or Bearish for Currency and Stocks
If the speech contains positive announcements: Higher than expected: Bullish for GBP, Bullish for Stocks. Conversely, if it includes negative implications: Lower than expected: Bearish for GBP, Bearish for Stocks. The tone can be perceived as dovish or hawkish depending on the government’s stance on fiscal policy, with a dovish inclination typically suggesting lower interest rates or supportive measures, which would be beneficial for stocks but potentially weaken the currency.

Legend

High Potential Impact
This event has a strong potential to move markets significantly. If the 'Actual' value differs enough from the forecast or if the 'Previous' value is significantly revised, it signals new information that markets may rapidly adjust to.

Medium Potential Impact
This event may cause moderate market movement, especially if the 'Actual' deviates from the forecast or there's a notable revision to the 'Previous' value.

Low Potential Impact
This event is unlikely to affect market pricing unless there's an unexpected surprise or a major revision to prior data.

Surprise - Currency May Strengthen
Actual deviated from Forecast on a medium or high impact event and historically could strengthen the currency.

Surprise - Currency May Weaken
Actual deviated from Forcast on a medium or high impact event and historically could weaken the currency.

Big Surprise - Currency More Likely To Strengthen
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely strengthen the currency.

Big Surprise - Currency More Likely To Weaken
'Actual' deviated from 'Forecast' more than 75% of historical deviations on a medium or high impact event and may likely weaken the currency

Green Number Better than forecast for the currency (or previous revise better)
Red Number Worse than forecast for the currency (or previous revise better)
Hawkish Supports higher interest rates to fight inflation, strengthening the currency but weighing on stocks.
Dovish Favors lower rates to boost growth, weakening the currency but lifting stocks.
Date Time Actual Forecast Previous Surprise
May 27, 2015