Sterling Rallies with Help of Positive News from Britain

The Great Britain pound rallied today due to a positive report about the UK service industries and the upward revision of growth forecast. The currency managed to gain against almost all its most-traded peers, including the US dollar.
The Markit/CIPS UK Services PMI climbed from 56.2 in October to 58.6 in November, far above analysts’ projections. Chancellor George Osborne was rather optimistic in his Autumn Statement 2014 speech to the Parliament. In particular, he said that Britain’s economy will grow 2.4 percent next year, a bit higher than the previous estimate.
All the good news allowed the sterling to rally. Some experts are skeptical about the currency’s ability to maintain the rally considering that the positive reports followed not-so-good data. Yet for now, the pound is firm against other major, even the very strong dollar.
GBP/USD rallied from 1.5634 to 1.5692 as of 23:54 GMT today, reaching the high of 1.5719 intraday. EUR/GBP dropped from 0.7917 to 0.7847. GBP/JPY climbed from 186.40 to 188.08, trading near the highest level since October 2008.

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