An overview of the UK services PMI
Later in the European session at 0830GMT, the UK economy will announce its September Services PMI, which is predicted to be 53.5, down from 54.2 last month.
What impact might it have on GBP/USD?
The GBP/USD pair remains above the critical 1.3500 level ahead of the important data, but it appears to be having trouble building on the day's positive recovery from the area of the mid-1.3400s, or a two-week low. Although the immediate market reaction is more likely to be restricted due to the emergence of some US Dollar (USD) dip-buying, a better UK Services PMI data could provide the GBP a minor boost.
In contrast, given the dovish attitude of the Bank of England (BoE), a lower result could lead to further selling on the GBP/USD pair. Accordingly, any effort at a positive move may be interpreted as a selling opportunity, and the path of least resistance for spot prices appears to go downward.
Later in the European session at 0830GMT, the UK economy will announce its September Services PMI, which is predicted to be 53.5, down from 54.2 last month.
What impact might it have on GBP/USD?
The GBP/USD pair remains above the critical 1.3500 level ahead of the important data, but it appears to be having trouble building on the day's positive recovery from the area of the mid-1.3400s, or a two-week low. Although the immediate market reaction is more likely to be restricted due to the emergence of some US Dollar (USD) dip-buying, a better UK Services PMI data could provide the GBP a minor boost.
In contrast, given the dovish attitude of the Bank of England (BoE), a lower result could lead to further selling on the GBP/USD pair. Accordingly, any effort at a positive move may be interpreted as a selling opportunity, and the path of least resistance for spot prices appears to go downward.
