Sterling outlook

The Bank of England meets next week and investors will be sensitive to any shift in tone, particularly whether it will extend or pause its £175 bn asset buying programme. This is overshadowing today’s positive PMI data, which shows the UK services sector growing at its fastest pace in 2 years.

The Pound gained some value this morning, but for now seems to have tailed off, as all eyes are on next week’s key Bank of England announcement on Thursday lunchtime.