UK Services Sector Edges Up, Pound Rises Amid Geopolitical Uncertainty

The UK services sector has shown minor improvement in August, according to S&P Global's data. The UK Services PMI rose from 52.1 in July to 52.5 in August, but fell below analysts' expectations of 52.8 points.

A slight expansion was observed in service output and new orders, while cost inflation increased due to higher energy expenses. Exports and employment areas contracted amid high geopolitical uncertainty affecting consumer and business confidence.

The British pound appreciated by 0.33% against the US dollar following the economic release, with the GBP/USD currency pair closing at $1.3525.