Data Range Description Rating Notes

9:28 A monthly gauge of the UK service sector that takes into account business 3*
PMI Services outlook. The survey queries executives in transport and communications,
financial intermediation, business services, personal services, computing and IT,
hotels and restaurants.
12:00 The announcement of whether the Bank of England has increased, decreased or 5*
BOE interest rates maintained the key interest rate. The BoE meets monthly to decide on
monetary policy. After each meeting policy decisions are announced. The main
task of the Bank of England's Monetary Policy Committee is to set the monetary
stance by fixing the overnight borrowing rate, which is incremental in
determining the short-term rates. Through this mechanism, the BoE attempts
to affect price levels in order to keep inflation within the target range while
maintaining stable economic growth and employment.
9:30 A monthly survey that measures change in input prices as incurred by UK 4*
PPI (input) manufacturers. Input prices include the cost of materials used plus operation
costs of running the business. The index can be used as a measure of inflation,
given that higher input costs will likely be passed on from producers to
consumers in the form of higher retail prices. The figure is also calculated as
Core Input PPI, which excludes volatile inputs such as food and energy that may
distort the data. As such, the core figure is a more appropriate measure of
inflation.

The headline is the percentage change in the Producer Price Index (Input) from
the previous quarter and previous year.

9:30 A monthly survey that measures the price changes of goods produced by UK 4*
PPI (output) manufacturers. The figure is also known as "Factory Gate Price" because it
usually matches the price of goods when they first leave the factory. Increased
prices in manufacturing typically lead to higher retail prices for consumers.
However, it is also likely that higher output prices are caused by manufacturers
charging a higher premium due to higher demand for their goods.
 Consequently, market trends in consumption should be considered with Output
PPI to avoid data misinterpretation. There is also a Core Output PPI, which
excludes volatile items such as food and energy. The Core PPI is generally a
better measure of inflation because it excludes those items whose short-term
price fluctuations can distort inflationary data. The headline is the percentage
change in the Producer Price Index (Output) from the previous quarter and
previous year.

9:30 The difference between exports and imports of British goods and services. The 4*
Trade balance Trade Balance is one of the biggest components of the United Kingdom’s
Balance of Payment, thus giving valuable insight into pressures on the value of
the Pound. A positive Balance of Trade figure (surplus) indicates that exports
are greater than imports. When imports exceed exports, the UK experiences a
trade deficit. Because foreign goods must be purchased using foreign currency,
trade deficits fundamentally reflects that the Sterling is leaking out of the
country. Such currency outflows may lead to a natural depreciation of a Pound,
unless countered by similar capital inflows. At a bare minimum, deficits will
weigh down the value of the currency.
9:30 The Bank of England MPC keeps notes from its rate decision meetings. The 5*
BOE minutes detailed minutes from these meetings give some of the best insight into the
monetary policy decision making process and what the BOE thinks about
economic developments inside and outside of the UK. Markets tend to focus
most of their attention on the key points discussed during the meeting that
suggest future interest rate changes. For example if the minutes state that high
consumer spending and a rapidly expanding housing market are fuelling
inflation, then markets participants will tend to monitor these key sectors
closely in order to gauge the likelihood of a rate increases in the future. As
minutes come out two weeks after the BOE meets, markets will discount some
information in the report. Market participants tend to read into the overall
mood the Bank of England gives during the meeting. If the BOE is cautious
about the inflation outlook for the economy, then the market has a higher
likelihood of future rate increases. If the Bank is optimistic, it suggests to
markets that inflation is in check and that future rate increases are less likely.
9:30 GDP (QoQ) An indicator for broad overall growth in the United Kingdom. Robust UK GDP 5*
growth signals a heightened level of economic activity, and therefore a high
demand for currency. Economic expansion also raises concerns about
inflationary pressure, which generally prompts monetary authorities to increase
interest rates. This means that positive GDP readings are generally bullish for a
given currency, while negative readings are bearish. Due to the untimeliness of
this report and because data on GDP components are available beforehand, the
actual GDP figure is usually well anticipated. But given its overall significance
GDP has the tendency to move the market upon release, acting to confirm or
upset economic expectations. Robust GDP growth signals a heightened level of
activity that is generally associated with a healthy economy. However economic
expansion also raises concerns about inflationary pressures which may lead to
monetary policy tightening.