23 May 2014
Sterling bulls find further encouragement - Rabobank
FXStreet (Guatemala) - Analysts at Rabobank explained that the Sterling bulls were encouraged this week by signs that some members of the BoE’s MPC were becoming less dovish.
Key Quotes:
“The pound also took encouragement from the coincident news of a Easter spending splurge on UK high streets. April retail sales surged 6.9% y/y, making it the strongest annual rise in ten years”.
“Consumer spending remains a key driver of UK economic growth and following the 0.8% q/q expansion in GDP in the first quarter it now seems almost inevitable that the UK economy will finally recover its pre-crisis size in Q2. The better data from the UK economy has allowed sterling to outperform all other developed world currencies over the past 12 mths”.
Key Quotes:
“The pound also took encouragement from the coincident news of a Easter spending splurge on UK high streets. April retail sales surged 6.9% y/y, making it the strongest annual rise in ten years”.
“Consumer spending remains a key driver of UK economic growth and following the 0.8% q/q expansion in GDP in the first quarter it now seems almost inevitable that the UK economy will finally recover its pre-crisis size in Q2. The better data from the UK economy has allowed sterling to outperform all other developed world currencies over the past 12 mths”.