UK PMI manufacturing dropped sharply to 52.9 in January, down from 57, missed expectation of 53.0, a 7-month low. PMI Services dropped to 38.8, down from 49.4, missed expectation of 45.3, an 8-month low. PMI Composite dropped to 40.6, down from 50.4, an 8-month low.
Chris Williamson, Chief Business Economist at IHS Markit, said:
“A steep slump in business activity in January puts the locked-down UK economy on course to contract sharply in the first quarter of 2021, meaning a double-dip recession is on the cards. Services have once again been especially hard hit, but manufacturing has seen growth almost stall, blamed on a cocktail of COVID-19 and Brexit, which has led to increasingly widespread supply delays, rising costs and falling exports.
“Worryingly, January also saw companies reduce headcounts at an increased rate again – albeit less so than seen between March and November. The steepest loss of jobs was recorded in the hotels, restaurants, travel and leisure sectors, reflecting the new lockdown measures.
“Encouragingly, the current downturn looks far less severe than that seen during the first national lockdown, and businesses have become increasingly optimistic about the outlook, thanks mainly to progress in rolling out COVID-19 vaccines. Business hopes for the year ahead have risen the highest for over six-and-a-half years, boding well for the economy to return to solid growth once virus restrictions ease.”

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Bitcoin rejected by 4H 55 EMA, extending triangle pattern with last leg
Bitcoin rebounded to as high as 34899 but was rejected by 4 hour 55 EMA and reversed. Break of 31741 minor support suggests that such rebound is completed. Corrective pattern from 41964 should be still in progress. It’s now likely a five-wave defending triangle pattern, in the last leg.
Bitcoin should now have another take on 30k handle, and will likely overcome it for a while. Ideally, it should breach lower trend line (now at 28541) briefly and complete the triangle pattern there and rebound. We’ll see how it goes.