Fundamental analysis
25 January, 2021
The British Pound USD currency pair moved higher, trading at 1.3707. The Pound slid lower on Friday. It faced two headwinds. First, weak PMI figures and second lockdowns for longer as the UK tries to fend off the latest virus wave. All three of the UK’s PMI reports for January missed their analysts’ estimates by large margins. Composite printed at 40.6 vs. 50.7 expected, Manufacturing came in at 52.9 vs. 57.3 expected, and Services was 38.8 vs. 49.9 expected. UK Retail Sales also missed their estimates. Retail Sales for December rose 0.3%, Month-over-Month, and 2.9%, Year-over-Year. PMI’s beat their estimates in the United States. The Services came in at 57.5 vs. 53.6 expected, and the Manufacturing was 59.1 vs. 56.5 expected. Existing Home Sales in the United States for December rose 0.7%. The consensus forecast was a decline of 2.0%.
