Data released yesterday has compounded the view that the UK is already in the grip of a sharp downturn as figures show consumer spending has dropped to a two-year low. The UK’s exports also fell by 0.5% in Q4, although the GDP figures confirmed that overall growth in Q4 was a robust 0.6%, inline with initial estimates.
The pound had a poor day yesterday as it slipped of slightly against the dollar, after taking almost 2 cents of the greenback on previous days trading, dropping over 1 cent to be trading at $1.9801. Against the euro the pound also lost ground and lost one and a half cents, from 1.3262 to 1.31 the figure.
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