The UK economy is reportedly proving more resilient than previously expected, with UK GDP said to have grown 0.6% in Q1 and a further 0.4% in Q2. Against this backdrop, major currency pairs traded within a limited range.
GBP/USD continued to trade in a narrow range around 1.3559, with the pair seen testing the July high, which had been viewed as resistance. GBP/JPY recovered to the ¥216 range and continued to show signs of recouping its decline following the intervention.
Economists said the UK economy had demonstrated greater resilience than expected, with GDP growing 0.6% quarter on quarter in Q1, followed by 0.4% growth in Q2. Growth is moderate, but it was described as steady expansion amid an energy price shock, high interest rates and renewed concerns about inflation.
The view expressed was that the UK economy was not, at least, approaching a recession and was instead showing solid expansion. The article also cited figures including GBP/USD 1.3559, GBP/JPY 216.10 and EUR/GBP 0.8546.
The article was written by the MINKABU PRESS editorial department and reports on developments in related markets and levels for major currency pairs.