GBP/USD shrugs after mixed UK data – Crypto News – Crypto News
Connect with us
GBP/USD still seen lower at 1.17/16 for this week – ING GBP/USD still seen lower at 1.17/16 for this week – ING

others

GBP/USD shrugs after mixed UK data – Crypto News

Published

2 years ago

on

Share:

GBP/USD Forecast: Buyers could remain interested if Pound Sterling stabilizes above 1.2700

Supported by the broad-based selling pressure surrounding the US Dollar (USD) in the second half of the day on Thursday, GBP/USD managed to erase a large portion of Wednesday’s losses. Early Friday, the pair holds steady at around 1.2700 as markets assess latest data releases from the UK.

Retail Sales in the UK rose by 1.3% on a monthly basis in November, the UK’s Office for National Statistics (ONS) reported on Friday. This print surpassed the market expectation for an increase of 0.4% by a wide margin. On a negative note, however, the ONS announced that it revised the annualized Gross Domestic Product (GDP) growth for the third quarter lower to 0.3% from 0.6% in the first estimate. Read more…

GBP/USD shrugs after mixed UK data

UK retail sales jumped 1.3% in November m/m, bouncing back from 0% in October and beating the consensus estimate of 0.4%. This was the sharpest pace of growth since January and the increase was felt in all sub-sectors. Yearly, retail sales edged up 0.1%, after a downwardly revised decline of 2.5% in October and above the market consensus of -1.3%.

The GDP report was less cheery, as second-estimate GDP for Q3 came in at -0.1%, compared to 0% in the preliminary estimate. This has raised concerns that the weak UK economy could tip into a recession, as negative growth in the fourth quarter would officially be considered a technical recession. GDP for the second quarter was revised downwards to no growth, compared to the initial estimate of 0.2%. Read more…

GBPUSD

Pound Sterling capitalizes on risk-on mood, upbeat UK Retail Sales data

The Pound Sterling (GBP) extends its recovery on Friday, supported by upbeat UK Retail Sales data for November. The Office for National Statistics (ONS) reported that households’ retail spending surprisingly remained positive compared with the previous year, while market participants projected a sharp decline. Strong Retail Sales were boosted by a 2.8% increase in non-food retail stores as major discounts were offered amid the Black Friday Sale.

The upbeat Retail Sales data for November is likely going to allow Bank of England (BoE) policymakers to stick to their restrictive monetary policy stance. The growth rate in wages is still significantly higher than required to bring down inflation to 2%, and this appears to be empowering households to spend heavily. This could dampen confidence in a clear downtrend in price pressures. Read more…

 

Related Topics:
Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Trending