S&P Global/CIPS Services PMI comes in at 51.8 against 50 consensus

The S&P Global/CIPS Services PMI for the UK was released today, showing a reading of 51.8. This figure came in above the consensus expectation of 50.0, representing a 3.6% surprise. The actual print also marked an increase from the previous reading of 48.8, moving back into expansionary territory above the 50-point threshold.

Following the release, market movements were observed across several GBP pairs. Fifteen minutes after the data, EURGBP was up 2.1 pips, while GBPUSD was down 4.8 pips. GBPAUD declined by 2.5 pips, GBPCAD by 5.6 pips, GBPCHF by 3.2 pips, GBPJPY by 3.3 pips, and GBPNZD by 6.5 pips. These initial movements are generally small when compared to the historical median 1-hour moves for these pairs. For instance, GBPUSD typically sees a median 1-hour move of 14 pips after past releases, and GBPAUD a median of 21 pips.