China's factory sector output has shrunk for a fourth month running, although there are signs that Beijing's stimulus efforts are starting to pay off.
GBPCNY is currently trading at 4 ½ year highs.
The European Central Bank is ready to take action if inflation falls too far below its forecast.
Mario Draghi said yesterday the European Central Bank might start broad-based asset purchases if the inflation outlook worsens.
The comments have weakened the euro slightly but further weakness could be on the cards once Draghi actually takes action.
The yen traded near the strongest level in a week against the dollar as a more tensions between Russia and Ukraine provoked investor demand for safety.
US Secretary of State John Kerry warned that Russia was running out of time to comply with terms aimed at de-escalating the situation.
The US dollar headed for a five-day decline versus the euro despite data showing durable goods orders for the month of April rising to 2.6%.
However initial jobless claims did rise more than expected up to 323,000 for last week.
Today the UK received some good news with retail sales only falling to 0.1% in March from 1.3% in February. Analysts were expecting sales to have dropped by 0.4%.
So despite the decline, the news was better than expected, causing the pound to gain in early morning trade.
14.45pm – USD – Markit Services PMI (Apr): Expected to expand to 56.
14.55pm – USD – Reuters/ Michigan Consumer Sentiment Index (Apr): Expected to increase to 83