BLBG:Pound Approaches Two-Week Low Versus Dollar Before Services Industry Data
The pound traded within one cent of an almost two-week low versus the dollar before a report that’s forecast to show U.K. services industries growth slowed last month.
The British currency strengthened for a third day versus the euro. A gauge based on a survey of companies slipped to 53.2 from 53.9 in June, Markit Economics Ltd. and the Chartered Institute of Purchasing and Supply will say today, according to the median forecast of 27 analysts in Bloomberg News survey.
The pound fell 0.2 percent to $1.6270 as of 7:34 a.m. in London. It dropped to $1.6224 yesterday, the lowest level since July 21. Sterling rose less than 0.1 percent to 87.07 pence per euro. It reached 87.00 pence yesterday, the strongest since May 31.
The British currency gained 0.2 percent to 1.2442 Swiss francs, after reaching a record low 1.2401 francs yesterday.
Bank of England policy makers meet to set interest rates tomorrow, and will keep the key rate unchanged at 0.5 percent, according to all 55 economists in a Bloomberg survey.
A gauge of British building activity fell to 53.5 from 53.6 in June, Markit Economics Ltd. and CIPS said yesterday, while data released Aug. 1 showed an index of U.K. factory output fell to 49.1, the lowest level since June 2009.
Sterling has fallen 8.9 percent in the last 12 months, making it the second-worst performer among 10 developed-market currencies after the U.S. dollar, according to Bloomberg Correlation-Weighted Currency Indexes.
To contact the reporter on this story: Keith Jenkins in London at Kjenkins3@bloomberg.net
To contact the editor responsible for this story: Daniel Tilles at dtilles@bloomberg.net
