The UK Pound has rallied on news that UK factory activity surged in October, raising the chances of an earlier interest rate rise. Sterling jumped from US$1.543 to US$1.548 against the US Dollar after a 55.5 reading for October’s UK manufacturing purchasing managers’ index (PMI), far higher than the 51.3 investors had been expecting. Any reading above 50 indicates expansion. The FTSE 100 briefly edged into positive territory on the news, before falling back to 6,346, down 15 points, or 0.2%, on the day.
[Source: New Model Adviser – November 2, 2015 – Daniel Grote]
