GBP/USD: UK’s Markit construction PMI shrinks most since 1997 in April


GBPUSD Movement

For the 24 hours to 23:00 GMT, the GBP declined 5.36% against the USD and closed at 1.2330.

On the data front, UK’s Markit construction PMI plunged to 8.2 in April, marking its lowest level since the data was first collected in April 1997 and compared to a reading of 39.3 in the previous month.

In the Asian session, at GMT0300, the pair is trading at 1.2327, with the GBP trading slightly lower against the USD from yesterday’s close.

The pair is expected to find support at 1.2275, and a fall through could take it to the next support level of 1.2224. The pair is expected to find its first resistance at 1.2414, and a rise through could take it to the next resistance level of 1.2502.

Moving ahead, investors would keep a watch on UK’s Halifax house prices and the GfK consumer confidence index, both for April, along with the Bank of England minutes and interest rate decision, slated to release in a few hours.

The currency pair is trading below its 20 Hr and 50 Hr moving averages.

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