UK POUND BOUNCES BACK ABOVE $1.27 MARK

Published on May 24, 2024 15:40

UK pound bounced back above $1.27 mark after pulling below the level in the previous session. A small pullback in dollar index is seen benefiting the British currency despite weak domestic economic data. The ONS showed that monthly Retail Sales declined at a faster pace of 2.3%. Investors forecasted the economic data to have declined by 0.4% from the prior reading of -0.2%, revised negative from a stagnant performance. Annual Retail Sales contracted by 2.7% after expanding at a pace of 0.4% in March, downwardly revised from 0.8%. However, greenback staying firm amid reduced expectations of a near term rate cut will continue weighing on the pair. The counter was still quoting around a two month high at $1.2711, up 0.17% on the day.