Sterling jumps on services data

<p>Growth of the UK’s services sector has boosted sterling.</p>

Sterling rose today (July 3rd) on the back of the news the UK's services sector grew in June.

The latest Markit/Chartered Institute of Purchasing and Supply Services Purchasing Managers' Index showed a figure of 56.9 in June, up from 54.9 in May. Any score over 50 indicates growth.

Andy Scott, premier account manager at foreign currency exchange brokers HiFX, explained sterling made "broad gains" this morning after the news broke of the services data boost.

"The pound gained by more than half a per cent against the euro and by around 0.75 per cent against the dollar where it was trading at a one-month low," he said.

Mr Scott added the positive data for the services sector comes after the index also revealed growth in the construction and manufacturing industries.

This could mean economic growth in the second quarter is larger than the 0.3 per cent that was recorded in Q1 2013.

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