The recent positive adjustments in the economic indicators of the United Kingdom have had a favorable impact on the British Pound (GBP). Consumer credit data increased in November. Additionally, the Composite Purchasing Managers' Index (PMI) for December shows positive signals, with the services PMI numbers improving.
Investors are keeping an eye on the monetary policy of the Bank of England (BoE) due to the risk of an economic downturn and the possibility of continuously rising inflation rates.
The Institute for Supply Management (ISM) revealed figures indicating a slowdown in the service sector in December, with the services PMI dropping to 50.6, lower than the expected 52.6. The previous month's services PMI stood at 52.7.
Thomas Barkin, President of the Federal Reserve Bank of Richmond, commented on the US labor market, stating that it is consistently showing signs of slowing down and is unlikely to recover anytime soon.
Source: Fxstreet