Future guidance also now under the spotlight
FX investors are still coming to terms with the near-spontaneous improvement in UK economic data several months ago. UK PMIs have surged to multi-year highs, and eventhe ‘hard’ economic data now paint a promising picture. The unemployment rate for example has dropped sharply, defying even the most optimistic of forecasts – including those issued by the Bank of England in August (Figure 1).
Read the full report: UBS