The purchasing managers’ index for the British services sector scored 51 points. Early expectations stood on a rise from 51.3 to 51.6 points. 50 points is the limit between growth and contraction. The services sector is around 77% of the economy in the UK.
GBP/USD was hit by Draghi’s disappointment and fell as low as 1.5490. It then began a slow recovery process which accelerated towards the publication. Cable is now steady around 1.5540.
The Bank of England left the interest rate and the QE program unchanged, after expanding it in the previous month.
Earlier in the week, the manufacturing sector disappointed by staying in contraction, while construction was relatively strong.
For more on sterling, see the GBP/USD forecast.
Share
