UK construction firms recorded their sharpest dip in activity since just after the Brexit vote in June of 2016 as clients put on hold new projects due to uncertainty about the state of the economy. The Markit UK Construction PMI sank to 48.1 last month from August’s 51.1, easily trailing the consensus of economists polled by Reuters. In a statement following the release of the index, Markit said the likelihood of the Bank of England raising interest rates next month also played an important role behind the slowing pace of home building.
GBPUSD is currently trading around the 1.3274-mark. The short-term trend in the pair has turned bearish, with 1.3220 representing the immediate support on the downside. A break below that zone could see the selling pressure in the currency pair intensify.
Pound Slips Against Dollar as Data Nosedives
Daily Analysis - 04/10/2017