Events to pay attention to today:
11:30 GMT+3. GBP – PMI Composite
22:45 GMT+3. GBP – BOE Governor Andrew Bailey Speaks
GBPUSD:
On Wednesday, the GBP/USD exchange rate fell by an additional 0.5%, reaching a new ten-week low and moving closer to 1.2900. The UK and US will release Purchasing Managers’ Index (PMI) data on Thursday, with updates provided on a rolling basis. Investors will also be monitoring speeches from central bankers at both the Bank of England (BoE) and the Federal Reserve (Fed).
The Pound declined further on Wednesday, with markets showing weakness due to a broad US Dollar recovery and investors awaiting an overall decline in the UK PMI for October.
The median market forecast is for a slight downturn in UK activity figures, with the services PMI for October expected to fall to 52.2 from 52.4 in the previous month. In the US, the median market forecast is for a mixed outcome in October’s PMI reading. The manufacturing PMI component is expected to rise to 47.5 from 47.3, while the services PMI component is expected to fall slightly to 55.0 from 55.2.
Trading recommendation: Trading predominantly Sell orders from the current price level.
Origin: FreshForex
