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.