Improvement for UK Economy?

What’s all this?  Good news for the pound?  Surely not…

Yes, today the pound rose against the US dollar and the euro after some positive data concerning the UK economy was released.  According to recent surveys and indices, consumer confidence has risen to its highest level in two years, while the services sector is reporting notable improvement.

Consumers, while still cautious about buying large household goods, are now confident abouth the next 6 months – so much so that the index measuring this has risen to its highest point since 2004!  Looking at today’s numbers it is no surprise that investors headed back to the pound.

Indeed, the data was even better than expected – most economists had predicted much more moderate figures.  In addition, GDP growth rose to 0.3% for the final quarter of 2009 (not 0.2% as had been previously thought).  Overall it certainly looks like Britain has some hope on the horizon!

Yet only earlier this week, investors on the foreign exchange market were shaking their heads whenever the word ‘Britain’ was mentioned – after all, with a ‘hung’ parliament looking like a real risk and public debts still nearly as bad as those of Greece, the pound wasn’t looking like a particularly safe bet

Advertisements
Explore posts in the same categories: Economy, Finance, Retail, Topical, UK Media

Tags: , , ,

You can comment below, or link to this permanent URL from your own site.

Leave a Reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s


%d bloggers like this: