The British pound declined Tuesday as growth in the United Kingdom’s construction industry descended in July.
The Markit/CIPS UK construction purchasing managers’ index dropped to 57.1 last month from 58.1 in June.
Sterling was at 70.40 per euro. Against the US dollar, the currency trailed at $1.5576.
The market is geared towards a hawkish BOE. If the central falls short, the pound could fall. “There is a good degree of two-way risk going into Thursday,” said John Hardy, FX Strategist at Saxo Bank.
All eyes are on BOE’s quarterly inflation report, its interest rate decision, and minutes of the policy meeting.
The material has been provided by InstaForex Company – www.instaforex.com