GBP firmer in line with European peers – Scotiabank

Pound Sterling (GBP) is firmer, in line with its European peers, as Gilt yields perk up on higher spending risks. UK data showed more or less as expected borrowing data for January, Scotiabank's Chief FX Strategist Shaun Osborne notes. 

Gilt yields rise on spending outlook

"Revised data for the February Manufacturing PMI improved to a still soft 46.9, from the preliminary 46.4." 

"Sterling gains on the session suggest a firm bid from the upper 1.25 zone to regain to the 100-day MA (1.2623). GBP resistance at 1.2720, last week’s high, remains firm resistance amid weak trend momentum, however, and spot will need to overcome this level to extend gains through the upper 1.27s in the short run."