020 7898 0500Yesterday, sterling retreated from key psychological levels as the release of the revised Q1 GDP hit the wires. It was expected that growth for Q1 would remain at 0.3%, down from 0.7% in Q4 last year. However, the headline number was revised lower to 0.2%.
In addition, there was some economic data that further supported the claim that the housing market is slowing. Mortgages worth £18.4 billion were approved for April, an 11% drop on the figure for March. In the meantime, mortgage approvals dropped slightly from last month, in line with expectations.
As a result, sterling weakened slightly but remains at elevated levels against the US dollar following a cautious view from the Federal Open Market Committee (FOMC) minutes yesterday evening.
Looking ahead to the final trading session of the week, it is quiet in terms of economic data but the hole will easily be filled with political data. Today, the Conservatives and Labour are expected to resume their national campaigning.
