- Manufacturing PMI: Tuesday, 8:30. Manufacturing continues to show strong growth. The PMI rose to 60.7 in April, up from 58.9. The upcoming reading is expected to confirm the initial release.
- Services PMI: Thursday, 8:30. The index continues to accelerate as the UK economy reopens. The PMI rose to 60.1 in April, and the second estimate stands at 60.2 points.
- BoE Rate Decision: Thursday, 12:00. The BoE is widely expected to maintain the Official Cash Rate at 0.10% and asset purchases at GBP 895 billion. The economy is doing markedly better than the last meeting, which took place in March, due to a successful vaccine rollout. The bank is not expected to taper at the upcoming meeting, but if policymakers do make this move, the pound could rise significantly. The BoE is expected to maintain interest rates at 0.10%.
- Construction PMI: Tuesday, 8:30. Construction accelerated in March, rising from 53.3 to 61.7 points. The estimate for April stands at 62.0, which points to strong growth.
Technical lines from top to bottom:
We start with resistance at 1.4070.
1.3956 is next.
1.3824 (mentioned last week) is the first support level.
1.3726 is next.
1.3612 is the final support level for now.