Sterling gains back on the dollar

This week brought some much needed breathing space to Sterling with what can be seen as a natural correction to the market seeing as the Pound has lost a considerable amount of ground to its competitors of the last few weeks. The push became stagnant yesterday as the Eurozone posted positive figures in the morning with Markit Service PMI coming out at 53.3 better than the 53.0 projected, later in the morning the UK reported the same Markit Service data but fell below expectation and recorded 52.7 down from the previous 55.6.

The loser overall was the Dollar as the US released a raft of data which was predominantly negative, in the afternoon the US released jobless claims at 278k from the previous 272k, later Markit Services PMI recorded a lower figure of 49.7 down from the 49.8 seen last month and finally factory orders posted a positive figure of 1.6% from the -2.9% but was expected to come in at 2.0%. With the Dollar having a bad day in the way of data this helped the Euro claw back some ground on the Dollar and around half a cent on the Pound.

Today sees another busy afternoon for the US as unemployment rate data is to be released and expected to be the same figure as last month at 4.9%. Later Non-Farm payrolls will be broadcast and is expected to come in higher than the previous figure of 151k. If those figures reach below expectation we could she another shift in the rates and again would favour the Euro so if you have a Euro requirement it may not be worth taking the gamble as the months highs we have seen may be short lived.

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