UK: Exceptionally strong manufacturing PMI surprised markets - BBH

Sandeep Kanihama FXStreet Contributor

Analysts at BBH suggest that the UK surprised with an exceptionally strong manufacturing PMI as it rose to 57.3 from 54.2 and is the highest in three years.

Key Quotes

“Most expected a slightly softer report. Forward-looking new orders rose to 60.7 from 56.1, which is its best showing since January 2014. The BOE meets next week, and it will likely put more emphasis on the services reading. Last week, the UK reported Q1 GDP of 0.3%, which disappointed.”

“Sterling recovered from a three-day low near $1.2865 on the news but barely poked through $1.29. Resistance in the $1.3000-$1.3055 area is expected to be formidable and is spurring some caution. Here too the technicals are getting stretched, but a marginal new high cannot be ruled out. The euro is recovering from a test of GBP0.8400 at the end of last week and yesterday. It appeared to find offers as its approached GBP0.8500 and a downtrend line drawn from the end of March high.”

Author

Sandeep Kanihama

FXStreet Contributor

Sandeep Kanihama is an FX Editor and Analyst with FXstreet having principally focus area on Asia and European markets with commodity, currency and equities coverage. He is stationed in the Indian capital city of Delhi.

GBP/USD stays defensive near 1.3450 amid Mideast uncertainty

GBP/USD drifts lower to near 1.3460 in European trading on Thursday. Conflicting rhetoric from US and Iranian officials about a potential deal fuels market concerns, allowing the US Dollar to attract some haven demand. Next of note for the major is the US Initial Jobless Claims report, while Mideast headlines will remain in play.

EUR/USD turns lower toward 1.1500 as USD finds demand

EUR/USD is turning south toward 1.1500 in the European session on Thursday, pressured by a modest US Dollar rebound. Markets stay wary about the prospects of a US-Iran peace deal and the reopening of the Strait of Hormuz, keeping the safe-haven USD underpinned. The focus is now on the US Jobless Claims data, following weak Eurozone Retail Sales report.

How Wall Street rigs the game [Video]

In this week’s Live from the Vault, Andrew Maguire is joined by Peter Antico and Sean Stone to discuss the Paradigm of Money - an in-depth expose of financial market corruption, from naked shorting to the two-tier system that protects Wall Street.

Top Altcoins: Ripple, Cardano, and Solana vulnerable to deeper losses

Ripple, Cardano, and Solana are trading in the red on Thursday, facing downside pressure. The technical outlook for altcoins is bearish, as XRP risks falling below $1.00, ADA is eyeing the 50-day Exponential Moving Average at $0.1766, and SOL remains capped below a cluster of resistance levels.

AI defies the disinflationary playbook: Why lower oil prices might not be enough to cool core inflation

The global economic landscape has been fixated on the Middle East since the US-Iran war started in late February, reacting to significant changes in crude Oil prices and assessing how they could influence inflation dynamics and growth outlook.

9-3: Is the Federal Reserve’s vote tally Warsh's new forward guidance?

The rate did not move. Neither did the statement, and that’s the more interesting fact. Set the July 29 Federal Open Market Committee (FOMC) statement beside the one issued on June 17, and the two documents are identical apart from a single verb and a paragraph at the bottom naming three dissenters.