The Pound Sterling continues to come under pressure in London trade as the latest economic data disappoints. The Chartered Institute of Purchasing and Supplies, in conjunction with Markit Economics, reported earlier today that manufacturing activity experienced its sharpest decline in activity over these last six months with the June reading coming in at 48.0, well below the 49.2 that economists had been predicting and the 49.4 reading in May. Analysts say that the sector is still experiencing some unwinding from the stockpiling activity which had occurred before the Brexit became an issue.
As reported at 12:30 pm (GMT) in London, the GBP/USD was trading lower at $1.2647, down 0.3844%; the pair has ranged from a trough of $1.2634 to a peak of $1.2706 in today's trading day. The EUR/GBP was trading higher at 0.8976 Pence, a gain of 0.2144%; earlier, the paid had hit a high of 0.89800 Pence while the low stands at 0.89250 Pence for the session.
US Manufacturing Sector Data Expected
The Markit Manufacturing PMI for the United States economy will also be released later today, with analysts and economists expecting to see a flat reading at 50.1. The Institute for Supply Management is also releasing its June Manufacturing sector PMI report and analysts are predicting a decline in the reading to 51.0 from 52.1. Any number above the 50.0 threshold is seen as positive for the greenback, suggesting continued expansion of the sector. The EUR/USD was trading at $1.1353, down 0.205%.