The UK construction sector’s growth has not advanced as expected, scoring 62.5 points, actually lower than the previous month. Markit’s purchasing managers’ index for the construction sector was expected to rise to 63 points from 62.6 in February. 50 points separate growth from contraction and numbers above 60 reflect steaming hot conditions.
GBP/USD was front running the publication and trading at 1.6660 towards the release. The outcome of a worse than expected figure is a squeeze back under 1.6650.
Yesterday, the manufacturing PMI disappointed with a drop to 55.3 points. There are constant worries that the UK growth is concentrated in housing and hasn’t fully reached other sectors.
Tomorrow we get the services PMI: the services sector is the UK’s largest and any deviation from expectations could cause big bumps in cable.
See how to trade the services PMI with GBP/USD.
There is no rate decision this week in the UK. It will happen next week.
1.6668 serves as resistance and 1.6618 as support. For more lines, see the GBPUSD forecast.
