The construction sector is looking better in the UK: a score of 53.1 in the PMI. This is 1.1 points above expectations. This is the second of three PMIs. Yesterday’s manufacturing PMI also beat expectations with a significant jump.
GBP/USD is relatively stable after the publication. Resistance awaits at 1.2965 and support at 1.29. The most important PMI is released tomorrow for the services sector, which is about 75% of the economy.
Markit’s UK purchasing managers’ index for the UK economy was expected to tick down from 52.2 to 52 points in April.
GBP/USD was trading just under 1.2930 ahead of the release.
Brexit woes
The focus in recent days has been the negotiations regarding the UK’s exit from the European Union. A meeting between UK PM Theresa May and Jean-Claude Juncker was described as a “disasterâ€. However, there are always such moments. In addition, these reports help May in her election campaign.
Sterling jumped after the announcement of the elections but cable has not been able to crack the 1.30 level.
GBP: When Will The GBP Peak? Where To Target? – NAB
