The Great Britain pound closed stronger, erasing the previous losses, on the last trading session of this week. The losses were caused by the report that showed decline of retail sales last month.
Retail sales dipped 0.6 percent in January from a year ago on a seasonally adjusted basis, putting a halt to the year-on-year growth seen in the retail sector since August 2011. Analysts have hoped for 0.5 percent growth. The data added to signs of recession in the UK economy.
The pound may yet fall in the near future as the Group of Twenty meeting is not likely make central banks worldwide stop their accommodative policies, which weaken currencies. Still, it is questionable how real the help from the stimulating monetary policy for the UK economy. Anyway, doubts about the effectiveness of the easing measures are negative for the sterling too.
GBP/USD rose from 1.5493 to the closing price of 1.5515 after touching 1.5460 intraday — the lowest since July 13. GBP/JPY went up from 143.87 to 145.12 following the drop to 142.74. EUR/GBP was down from 0.8622 to 0.8608 and its intraday low was at 0.8572.
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