Pound LIVE: GBP edging lower against euro as slowdown forecast for UK manufacturing

Manufacturing PMI data is due out around 09:30 GMT but gloomy forecasts are predicting the figures will show a slowdown in manufacturing activity. This could be bad news for Sterling, with poundsterlinglive.com predicting negative movement for the pound should the data disappoint. As of just after 08:30 GMT, the pound is trading at €1.1109 against the euro, down slightly from opening levels. Sterling has been mainly influenced by Brexit over recent months, with the UK now facing less than 100 days to go until the scheduled departure date from the European Union (EU).

Prime Minister Theresa May used her New Year message to call on MPs to back her controversial withdrawal agreement and said an “important decision” needs to be made.

The UK is due to leave the EU at 11pm on March 29, 2019 but MPs must first vote in the Commons in mid-January on the proposals reached with the EU.

Mrs May said in her New Year message: “In 2019 the UK will start a new chapter.

“The Brexit deal I have negotiated delivers on the vote of the British people.”

She went on: “If Parliament backs a deal, Britain can turn a corner.

“The referendum in 2016 was divisive.

“But we all want the best for our country and 2019 can be the year we put our differences aside and move forward together, into a strong new relationship with our European neighbours and out into the world as a globally trading nation.”

She said an orderly Brexit would allow the UK to “focus its energy” on other challenges.

In his new year message, Labour leader Jeremy Corbyn said Mrs May could not be allowed to “drive through a bad deal”.

Mr Corbyn said: “Eight years of damaging Tory failure has left us with a divided country where millions are struggling to make ends meet. We cannot go on like this.

“Labour is ready to deliver a radical alternative to rebuild and transform our country.

“We will stand up to the powerful few so the wealth you create is shared fairly, not hoarded by a privileged elite.

“We will work to create a society where the talent of everyone is unleashed. That is how we will unite our country.”

Other developments that could influence the pound this week come in the shape of Construction PMI data due for release tomorrow, where a slowdown is also forecast.

Services PMI is then scheduled for Friday with analysts expecting more positive data with a rise anticipated.

source: express.co.uk