Rain Newton-Smith, CBI Economics Director, said: “The drop in oil prices is good news for the manufacturing sector in the UK, bringing with them lower operating costs, but North Sea producers are clearly suffering. Export orders picked up significantly, to a level not seen for six months, but uncertainty over prospects in the Eurozone will continue to weigh on export demand. So, it’s imperative we continue to help manufacturers sell their products and services into high-growth markets around the globe.”
After the data Sterling added few points and is currently being traded around 1.5450 area. However, we believe that pair will find significant amount of resistance ahead of 1.55 handle, so this is where we would consider short-term selling. 1.54 handle should offer some amount of support. Later today, in the US session, Unemployment Claims and Philly Fed Manufacturing Index data are scheduled for a release.
