Pound Sterling was seen edging higher off morning lows following the release of manufacturing figures from IHS Markit and the CIPS.
A major barometer of Manufacturing activity in the UK, the Purchasing Manager Index, showed a marked gain on Tuesday after it rose to a three-year high of 57.3 in April from 54.2 in the month before.
There was a sudden slip in the value of the British Pound on the morning of April 3 as economic data out of the UK economy disappointed.
UK manufacturers have reported a bumper start to 2017 with data from IHS Markit and the CIPS confirming their much-watchedManufacturing PMI stands at 55.9 in January.
The British Pound Sterling faces its first set of data releases of 2017 this week with the release of the IHS Markit / CIPS PMI series.
Services PMI data released on Monday November 5 caps the strong start to the month for UK Economy and ensures 2016 will end on a positive note.
A weaker Pound Sterling has helped UK manufacturers increase business levels despite uncertainty surrounding Brexit.
FTSE 100 higher on weaker Pound, Manufacturing activity at strongest level in years as foreign orders increase.
Pound Sterling will be hoping for some much-need support from the release of UK data and a speech by the UK’s Chancellor of the Exchequer today.
The pound surged on Thursday after Manufacturing PMI came out well above expectations in August, easily beating the 49.0 forecast, and revealing yet more underlying resilience in the UK economy post-Brexit.
Mid-week trade sees Pound Sterling continue to hold recent gains but analysts warn of the potential for a break lower.
Last week we finally got the first significant piece of economic data since June’s Brexit vote and it was not good news for the UK economy or the Pound.
Markets have some juicy data to bite into as the new month brings with it the release of the three PMI readings.
The GBP continues to be sold across the board as foreign exchange markets remain unconvinced by the improvement witnessed in the UK’s manufacturing sector.
The pound has fallen against the euro but maintains recent strength elsewhere as the first data release of May is unequivocally negative.
A mixed bag of data for the UK has given sterling a boost, but also highlighted growing imbalances in the economy.