News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
Real Time News
  • Heads Up:🇳🇿 Balance of Trade (SEP) due at 21:45 GMT (15min) Previous: N$-2144M
  • NZD/USD struggles to retain the advance from the start of the week following an unexpected improvement in US household sentiment. Get your %NZDUSD market update from @DavidJSong here:
  • Seriously Twitter, how do you beat on revenue and miss so significantly on EPS. The flexibility in GAAP is so wide, you could drive a truck down the middle path...
  • 🇰🇷 Consumer Confidence (OCT) Actual: 106.8 Previous: 103.8
  • Forex Update: As of 20:00, these are your best and worst performers based on the London trading schedule: 🇦🇺AUD: 0.13% 🇬🇧GBP: 0.01% 🇨🇭CHF: 0.01% 🇨🇦CAD: -0.05% 🇪🇺EUR: -0.11% 🇯🇵JPY: -0.38% View the performance of all markets via
  • Heads Up:🇰🇷 Consumer Confidence (OCT) due at 21:00 GMT (15min) Previous: 103.8
  • RT @therecount: In a 17-0 vote with 1 abstention, the FDA advisory committee approves the use of Pfizer's COVID vaccine for children aged 5…
  • Commodities Update: As of 20:00, these are your best and worst performers based on the London trading schedule: Oil - US Crude: -0.19% Gold: -0.80% Silver: -1.66% View the performance of all markets via
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 90.56%, while traders in Wall Street are at opposite extremes with 74.17%. See the summary chart below and full details and charts on DailyFX:
  • AMD Earnings Summary REV. $4.3B vs. EST. $4.12B EPS: $0.73 vs. EST. $0.67 $AMD
GBPUSD Cheers Hat-trick of PMI Surveys Signaling UK GDP Rebound

GBPUSD Cheers Hat-trick of PMI Surveys Signaling UK GDP Rebound

Justin McQueen, Strategist

GBPUSD Analysis and News

  • UK Services Rises to Best Level Since December, BoE rate hike expectations lifted
  • PMI Surveys Indicate UK Q2 GDP at 0.3-0.4%

UK PMIs Signal Rebound in UK Growth

GBP rose to its best levels of the day against the USD to 1.3378 from 1.3332 following the latest UK Services PMI report, which rose to its highest level since December at 54, beating expectations of 53. Subsequently, the combination of PMI surveys (Services, Manufacturing and Construction) which have all beaten forecasts signals that UK growth is to rebound in the second quarter, which aligns with the BoE’s narrative that weak first quarter growth is temporary. IHS Markit noted that GDP looks set to rise by 0.3-0.4% in the second quarter which is relatively in line with the Bank of England’s 0.4% forecast.

The better than expected Services PMI report led to a slight lift in BoE rate hike expectations, which now see odds of an August rate hike at 38% from previous of 34%. As such, this could see an unwind of some of the bearish sentiment in GBP, potentially setting up a move above 1.34 as markets increase pricing for an August rate rise.


GBPUSD Cheers Hat-trick of PMI Surveys Signaling UK GDP Rebound

Chart by IG

GBPUSD Technical levels

On the topside, the 20DMA is situated at 1.3390, before the psychological 1.34 handle, which is also the June 4th high. Elsewhere, the 23.6% Fibonacci Retracement of the 1.4377-1.3204 fall is at 1.3480. In terms of support, the June 1st low is at 1.3254, 1.3204-1.3200 also provides strong support for GBPUSD.

See how retail traders are positioning in GBPUSD as well as other major FX pairs on an intraday basis using the DailyFX speculative positioning data on the sentiment page.

For a more in-depth analysis on Sterling, check out the Q2 Forecast for GBP/USD

--- Written by Justin McQueen, Market Analyst

To contact Justin, email him at

Follow Justin on Twitter @JMcQueenFX

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.