UK GDP expanded 0.6% in Q2, exceeding estimates of 0.4%, bolstering the British Pound against the Japanese Yen.
The British Pound gained modestly against the Japanese Yen after UK Q2 GDP data showed stronger-than-expected growth. The economy expanded 0.6% quarter-on-quarter, surpassing the 0.4% forecast and marking a 1.2% annualized increase, above the 1.1% estimate.
June’s GDP growth also rose 0.3%, defying expectations of no change. Manufacturing and Industrial Production data exceeded projections, with Manufacturing Production up 0.5% and Industrial Production growing 0.2%. The figures follow a prior annualized reading of 0.9%.
Market focus now shifts to Bank of England policy expectations, while the Japanese Yen remains subdued amid speculation over potential US-Japan currency intervention.