The Sterling appreciated against the US Dollar on the weak retail sales figures for the UK on Thursday. Following the release, the GBP/USD exchange rate increased 17 base points or 0.13% to hold very close to the 1.3200 level and then jump above 1.3230 on Friday morning.
Britain’s retail sales marked their first yearly decrease since 2013 in October as shoppers struggled with rapidly-rising prices and sluggish pay growth. The ONS showed that retail sales fell 0.3% year-on-year along with a 0.3% monthly gain over the course of October. The downward trend is expected to be revised during the next year amid weaker inflationary pressures as well as firmer increase in wages, as underlying growth rate was improving.
