Tina FX
1
All posts from Tina FX
Tina FX in Tina FX,

Has the U.K. economy recovered?

Today pound strengthened after the U.K. unemployment rate and Unemployment claims data came out. The number of people claiming unemployment benefits decreased by 29,200 in July thus the claimant count change was far better than expected. There was not much movement in the European session but during U.S. morning trade GBPUSD reached highest point at 1.5544 since August 08, 2013. GBP is also strong against EUR resulting EURGBP to decline to 0.8526. GBP strengthened more when PPI data for US came out which was 0 % last month missing the expectation for a .4% increase after rising .8% in June. The core PPI decreased .1% in July missing the expectation for .2% increase. I don’t think U.K economy has recovered. Bank of England is also waiting for the jobless rate to fall below 7% then it will think of raising the interest rates. Tomorrow there is Retail Sales data for GBP and an unemployment data for USD to be released which will definitely affect the currency pair movement.