Whilst both Manufacturing and Construction PMI for the UK have come out worse than forecast, by far the biggest one will be the Services PMI due out tomorrow morning. A stong showing here could really give the pound a shot in the arm, but if it disappoints then sterling could come under fire. I expect the news to be reasonably good but as always these initial figures can often be very different to forecasts before being subsequently revised and corrected.
On the Euro side we have the ECB rate decision. Whilst EU PMI this week has been better than expected, and the overall unemployment rate has come down, both of which are good news for the Euro, inflation has still been on the low side. This poses a slight dilemma for the ECB so there is always the risk the press conference could cause some volatility in exchange rates – if you need to transfer Euro and would like to know more about the currency exchange services we offer then feel free to email me, Colm, at [email protected] and I would be happy to help.