UK retail sales fell sharply in June due to soaring fuel prices, while equities and bonds gained on hopes of a US-Iran nuclear agreement.
Global equities advanced and bond yields retreated Friday as investors bet on progress toward a US-Iran nuclear deal, easing geopolitical tensions. The rally offset concerns over weaker-than-expected UK economic data.
UK retail sales dropped 0.1% month-over-month in June, missing forecasts of a 0.2% gain. The decline was driven by a 4.3% fall in motor fuel sales, as record-high petrol and diesel prices forced consumers to cut back after stockpiling earlier.
Markets showed limited reaction to the UK data, focusing instead on the potential for reduced oil supply disruptions if a US-Iran deal materializes.