GBP/USD: BNP Paribas remains bearish on pair, maintains 1.24 target

The BNP remains bearish on the pound:

"British economic data surprised positively in recent weeks, not showing the slowdown than many had expected following the Brexit.

However, the PMI of July was low, suggesting future troubles. We expect a similar message from the PMIs of August. We expect a manufacturing PMI below 50.

We remain bearish on the GBP in general, in anticipation of further monetary easing by the BoE in the coming months. We also believe that direct and portfolio investments will not be sufficient to finance the UK's current account deficit.

We maintain our target of 1.24 on the GBP/USD." says the BNP.