After expanding by 0.20% during the first three months of the year, the UK Office for National Statistics confirmed Thursday that the economy experienced second quarter expansion of 0.30% in its second estimate of gross domestic product for the period.
Meanwhile, a separate report published by the Confederation of British Industry showed that retail sales growth slowed in August by the fastest rate in over a year. The UK had last year surprised most economists by managing to grow in the six months following the June vote to leave the European Union, with increased activity largely the function of strong consumer spending.
However, Thursday’s numbers showed household spending is flattening, reigniting investor concerns about the economic outlook.
GBPUSD touched a two-month low of 1.2770 on Thursday before rebounding back above 1.2800 overnight.