GBP To struggle this week?
GBP to struggle this week?
Today's Economic Calendar
- 09:30 - UK Manufacturing PMI
- 13:30 - US ISM Manufacturing PMI
The Pound struggled last week, reaching a three-month low against the Euro, as its short-term support level cracked, which has potentially exposed it for further losses in the next week. The Euro shot higher across the board on Friday, after news the EU states had sealed an agreement on migration, a move that offers respite to German Chancellor Angela Merkel whose coalition government faced collapse in the event of no deal being reached.
The Week Ahead in the UK sees the economic data calendar return to life, following a seven-day period in which the few releases of note were released. The latest surveys of purchasing managers across the manufacturing, construction and services industries over the first half of the week while a speech from Bank of England governor Mark Carney caps off the week's data on Thursday.
Markets are looking for Manufacturing PMI, due at 09:30 am on Monday, to slip from 54.4 in May to 54.1 for the month of June. This afternoons posting from the U.S Manufacturing PMI is expected to remain solid, with a posting of 58.2 due, down from last month’s 58.7.
Sterling will need to see the UK PMI postings come out higher than expected to see it regain it's losses against the Euros and Dollar this week.
Remy Malvy - FX Dealer