As per the recent release, the UK service providers reported a surge in business activity during April. Thereby indicating a recovery to growth following the marginal drop seen through the previous month.

However, the rate of increase was only small. Employment figures were broadly stable during the recent survey period, with companies reporting that higher wage costs and weaker sales had led to cautious staff hiring policies.

With that, the Services PMI is showing a surge from 48.9 to 50.4 which is now supporting the Sterling & related pairs.