The Pound Sterling (GBP) strives for a meaningful recovery after an intense sell-off, which was propelled by deepening recession risks. The recovery a
. Britain firms have shifted their focus on stabilizing margins and easing cost pressures by cutting inventories and the labor force. Going forward, transferring the benefit of easing cost pressures from firms to the end-consumer might ease inflationary pressures on households.
S&P Global reported on Friday that UK factory PMI for August dropped to 43.0 vs. July’s reading of 45.3. The reading was above the estimates of 42.5 but was the lowest one in more than three years. In spite of the deepening risk of a recession, the BoE is expected to raise interest rates further as core inflation is so close to its all-time peak of 7.1%.
UK authority’s focus on halving inflation is expected to disappoint members of the ruling Conservative Party who lobbied heavily for tax cuts before elections. Wage growth continues to expand but at a slower growth rate. Average Hourly Earnings expanded at a slower pace of 0.2% than the expected pace of 0.3%. Slower wage growth could ease consumer spending momentum and some heat in inflationary pressures.
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Pound Sterling Price News and Forecast: GBP/USD edges higher amid subdued USD demandThe GBP/USD pair edges higher on the first day of a new week, albeit lacks follow-through buying or build on its modest intraday gains around the 1.26
Read more »
GBP/USD now faces downside risksEconomist Lee Sue Ann and Markets Strategist Quek Ser Leang at UOB Group suggest GBP/USD is predicted to meet a tough support around 1.2545 ahead of 1
Read more »
GBP/USD Price Analysis: Cable bears eye 1.2570 support and BoE Monetary Policy Report HearingsGBP/USD remains on the back foot around 1.2590-85 as it struggles to defend the weekly gain during the early hours of Monday’s Asian session. In doing
Read more »
GBP/JPY regains 184.00 despite downbeat UK inflation expectations, focus on Japan GDP, BoE newsGBP/JPY floats above 184.00 while struggling to defend the early-day rebound from a one-week low during Monday’s Asian session. In doing so, the cross
Read more »
GBP/USD trades with a mild positive bias around 1.2600, lacks bullish convictionThe GBP/USD pair edges higher on the first day of a new week, albeit lacks follow-through buying or build on its modest intraday gains around the 1.26
Read more »
EUR/GBP struggles to stay above 0.8550, eyes on ECB Lagarde speechEUR/GBP hovers around 0.8560 during the Asian session on Monday, struggling to hold ground due to the possibility of an interest rate hike by the Euro
Read more »