1 May 2014
GBP/USD faces risk of heavy orders on Thursday - RBS
FXStreet (Bali) - Brian Daingerfield, FX Strategist at RBS, suspects that downbeat economic data in the UK later today may weigh on the Sterling, which just hit a new 4 and a half year high on Wednesday.
Key Quotes
"Manufacturing PMI and mortgage approvals are due in the UK with GBP/USD pushing to new 2014 highs. For the manufacturing PMI, we expect a slight dip in April to 55.0 from 55.3."
"The fall in the orders balance in March hints at some potential weakness in April and other indicators, such as the CBI industrial trends survey, showed modest weakness."
"The February 2014 decline in mortgage approvals was the first drop in approvals since February of last year and we expect mortgage approvals to have dipped again in March."
"While we don't expect this will be the beginning of a new trend, as other indicators of approvals suggest a continuation of the uptrend, the weakness in approvals combined with a softer than anticipated manufacturing PMI may weigh on GBP."
Key Quotes
"Manufacturing PMI and mortgage approvals are due in the UK with GBP/USD pushing to new 2014 highs. For the manufacturing PMI, we expect a slight dip in April to 55.0 from 55.3."
"The fall in the orders balance in March hints at some potential weakness in April and other indicators, such as the CBI industrial trends survey, showed modest weakness."
"The February 2014 decline in mortgage approvals was the first drop in approvals since February of last year and we expect mortgage approvals to have dipped again in March."
"While we don't expect this will be the beginning of a new trend, as other indicators of approvals suggest a continuation of the uptrend, the weakness in approvals combined with a softer than anticipated manufacturing PMI may weigh on GBP."