Pound Drops on Manufacturing PMI, Rebounds

The Great Britain pound edged down today after a report showed that nation’s manufacturing almost stalled in April. The currency rebounded later and trades near its opening level now.
The Markit/CIPS UK Manufacturing Purchasing Managers’ Index fell from 51.9 in March to 50.5 in April. The value is going dangerously close to the neutral 50.0 level. A drop below that level would indicate a decline. The pound recovered from losses today, but it still has a hard week ahead. Analysts predict that the construction and service indexes would also show a drop.
GBP/USD was down from 1.6231 to 1.6238 as of 13:33 GMT today after earlier it dropped to 1.6190. GBP/JPY slid from 129.53 to 129.06 before rebounding to the opening rate.

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