Insiders had jump on UK PMI data
There were very strong rumours in the London market in the 30 minutes prior to the data release, that a very strong number was likely. The interbank market was long GBP across the board going into the event and that helped to subdue gains, which were impressive nonetheless.
EUR/GBP is expected to run into strong bids below .8645 and GBP/JPY has struggled recently near 151.50, where macro funds have been selling.
But this data will give the GBP bulls some hope and the pound is still one of the most oversold currencies on many indicators so don’t be surprised if the bulls grab control for a few sessions.