020 7898 0500A poor start to the week saw sterling lose ground against its major trade partners thanks to manufacturing growth data falling below the expected figure. With the Bank of England (BoE) set to make a decision on whether to cut interest rates on Thursday, this week’s purchasing managers’ indices (PMI) are set to come under close scrutiny. A manufacturing PMI figure of 48.2 represents the sharpest contraction within the industry since 2013, and has set alarm bells ringing over the effect of the UK’s vote to leave the EU. Sterling subsequently fell across the board, and hit a three-week low against the euro.
Today sees the release of PMI data from the construction industry and tomorrow from the services industry, and further poor data could lead to prolonged weakness for sterling.
If you are looking to buy or sell sterling, we suggest contacting your trader now for live rates, news and currency-purchasing strategies.
