The British pound moved lower vis-à-vis the U.S. dollar today as cable tested bids around the US$ 1.4500 figure and was capped around the US$ 1.4735 level. Data released in the U.K. today saw the CIPS December services PMI survey climb to 40.2 from 40.1 in November, an indication the sector remains in a severe state of weakness. Most traders believe Bank of England’s Monetary Policy Committee will reduce rates by at least 50bps on Thursday. Other data saw Nationwide house prices fall 2.5% in December while the employment sub-index of the PMI services survey fell to a record low of 40.5. Cable bids are cited around the US$ 1.3920 level. The euro moved sharply lower vis-à-vis the British pound as the single currency tested bids around the ₤0.9100 figure and was capped around the ₤0.9300 figure.
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