GBP/JPY extends the losses without 195.00 after the soft GDP data in the United Kingdom
- The pound falls in all fields, as it disappoints the gross domestic product in the United Kingdom and industrial production numbers.
- UK exports to the United States witnessed the largest monthly decline in the record, despite the commercial deal in the United Kingdom and the United States.
- The UK data has strengthened the expectations of further drainage of England.
The pound speeds up the reflection against the Japanese yen and approaches the bottom The scope of trading last week, in 194.70, was launched by the monthly GDP in the United Kingdom and manufacturing production figures.
High taxes and Trump’s introductory disorder struck the British economy in April, GDP is exacerbated at a rate of 0.3 %, and the worst monthly performance since October 2023. These numbers exceed 0.1 % contraction expected by experts, and reflected 0.2 % and 0.5 % increases in March and February.
The weak data is enhanced by Amal Amal
Regardless, manufacturing production contracts by 0.9 %, exceeding 0.8 % expected, and industrial production decreased by 0.6 %, exceeding the market expectations by a decrease of 0.5 %. In April, the trade deficit expanded to 23.20 billion pounds per hour from less than 20 billion pounds in March
The commercial deal of the United States of America has failed to avoid a monthly record in exports to the United States. The UK companies were forced to dispense with employees and postpone investment decisions, which reach a higher tariff in the United States.
These numbers indicate poor growth of GDP in the second quarter, which, along with the highest unemployment numbers seen on Tuesday, strengthened the hopes of further drainage of the Bank of England. Pricing futures markets around other price discounts before the end of the year.
Common questions about GDP
The GDP (GDP) measures its economy growth rate over a certain period of time, usually a quarter. The most reliable numbers are those that compare the GDP to the previous quarter, for example, Q2 of 2023 against Q1 for the year 2023, or to the same period in the previous year, for example Q2 for the year 2023 against Q2 for the year 2022. However, these can be misleading, if temporary shocks affect growth in one quarter but it is unlikely to continue throughout the year – as happened in the first quarter From 2020 at the outbreak of the roaming epidemic, when the growth decreased.
The result of the high gross domestic product is generally positive for the nation’s currency because it reflects an increasing economy, which is likely to produce goods and services that can be exported, as well as attracting higher foreign investments. In the same manner, when the gross domestic product falls usually it is negative for the currency. When the economy grows, people tend to spend more, which leads to inflation. Then the central bank in the country must put interest rates to combat inflation through the side effect to attract more capital flows from global investors, thus helping the local currency to estimate it.
When the economy grows and the gross domestic product is transmitted, people tend to spend more than inflation. Then the central bank in the country must put interest rates to combat inflation. High interest rates are negative for gold because it increases the costs of keeping gold in exchange for placing money in the cash deposit account. Therefore, the rate of GDP growth is usually the highest declining gold price factor.
