GBP Rises After UK Manufacturing Grows in June

The pound has hit its highest level against the US dollar for nearly six years after a survey suggested the UK’s manufacturing sector grew at its fastest pace for seven months in June.

The latest Markit/CIPS purchasing managers’ index (PMI) for the sector was 57.5, up from 57.0 in May. A reading above 50 indicates expansion.

Survey compiler Markit said the sector continued to “flourish”.

The pound rose to $1.7145 on growing expectations of a rate rise this year.

The survey results add to signs that the UK’s economic recovery is becoming more balanced.

via BBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza