The information on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. IG Bank S.A. accepts no responsibility for any use that may be made of these comments and for any consequences that result. No representation or warranty is given as to the accuracy or completeness of this information. Consequently any person acting on it does so entirely at their own risk. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it and as such is considered to be a marketing communication.
Sterling awaits services figures
The pound is trading at $1.6855. As Alastair McCaig stated, due to dollar strength the pound has lost a lot of ground in recent weeks. Traders are expecting a reading of 58.1 in July for the services PMI report, which could set the tone for the Bank of England meeting on Thursday. Mark Carney’s language in the statement will be the focus of the week. The debate continues; which country will be the first to increase interest rates?
I don't anticipate the pound to drop below the $1.68 mark even if the services report misses expectations. A strong report could push the pound to $1.6929.