FX.co ★ Global macro overview for 05/01/2016

Global macro overview for 05/01/2016:

The UK manufacturing sector data was revealed yesterday and it turned out that business activity weakened in December. The Markit/CIPS manufacturing PMI dropped to 51.9 last month compared with 52.5 in November and the output and new order growth slowed further in the reported month. The Confederation of British Industries warned that manufacturers continue struggling with the strength of the British pound and weak demand in the eurozone, the UK main trading partner. This is the three-month low and this kind of data indicated that the sector is unlikely to contribute to the economic growth again.

The GBP/USD pair is trading closer to the important weekly support at the level of 1.4565. The next resistance is seen at the level of 1.4805.