UK GDP Data in Line with Estimates, GBP/USD Steady

UK GDP preliminary data for Q4 2022 indicated a definite slowdown despite matching estimates. Monthly actual gross domestic product (GDP) is estimated to have fallen by 0.5% in December 2022 while the bigger picture showed that GDP was flat in the 3 months to the end of December 2022 as a whole 2022 GDP came in at 4.1%.

The services sector fell by 0.8% in December 2022, after unrevised growth of 0.2% in November 2022; the largest contributions to this fall came from human health activities, education, arts, entertainment and recreation activities, and transport and storage.

Output in consumer-facing services fell by 1.2% in December 2022 while production output grew by 0.3% in December 2022 compared to 0.1% in November. The main contributor to this growth was electricity, gas, steam, and air conditioning supply.

The International Monetary Fund (IMF) recently upgraded its global GDP Forecasts for 2023 with the UK economy growing at -0.6% for the year. This would represent a sharp downturn following a largely resilient 2022 with the UK economy facing significant headwinds in 2023. The ongoing worker’s strikes, Government debt, and ongoing issues around Brexit are all set to weigh on any attempted recovery in 2023.

The IMF emphasized that among its concerns for the UK economy moving forward is energy prices, employment levels, and monetary policy with further tightening expected to fight inflation. Energy prices have since fallen sharply adding a ray of hope, however, employment is yet to recover to pre-pandemic levels as the labor market remains tight but has not absorbed as many people back into employment as it had before. This is likely to result in less output and production in 2023.

The initial market reaction following the news has seen GBPUSD decline 15 pips. Looking at the bigger picture from a technical perspective, GBP/USD’s price has bounced off the 200-day MA following its selloff toward the end of last week. Yesterday we saw resistance come into play around the 50-day MA at 1.21920 with the price hovering between the two MAs.

The further downside remains more appealing over the medium term, however, a break above the 50-day MA and retest of the range or the psychological 1.2500 area cannot be ruled out before the next leg to the downside unfolds.

This Post Has 4 Comments

  1. DonaldInege

    Balanceadora
    Aparatos de calibracion: fundamental para el rendimiento estable y optimo de las dispositivos.

    En el ambito de la tecnologia actual, donde la eficiencia y la estabilidad del dispositivo son de gran significancia, los aparatos de ajuste juegan un papel esencial. Estos equipos adaptados estan desarrollados para ajustar y regular componentes dinamicas, ya sea en maquinaria productiva, automoviles de desplazamiento o incluso en dispositivos domesticos.

    Para los profesionales en mantenimiento de dispositivos y los profesionales, manejar con dispositivos de balanceo es importante para garantizar el desempeno suave y seguro de cualquier dispositivo rotativo. Gracias a estas herramientas innovadoras modernas, es posible disminuir considerablemente las movimientos, el zumbido y la tension sobre los rodamientos, extendiendo la tiempo de servicio de elementos importantes.

    Tambien trascendental es el papel que cumplen los equipos de ajuste en la asistencia al cliente. El apoyo profesional y el reparacion constante aplicando estos dispositivos permiten proporcionar asistencias de optima calidad, incrementando la bienestar de los usuarios.

    Para los titulares de emprendimientos, la aporte en sistemas de calibracion y dispositivos puede ser clave para incrementar la eficiencia y desempeno de sus equipos. Esto es especialmente trascendental para los inversores que manejan modestas y pequenas negocios, donde cada elemento importa.

    Tambien, los aparatos de calibracion tienen una amplia utilizacion en el ambito de la seguridad y el supervision de calidad. Posibilitan identificar probables errores, evitando mantenimientos elevadas y problemas a los equipos. Incluso, los indicadores extraidos de estos sistemas pueden utilizarse para optimizar procesos y potenciar la exposicion en sistemas de investigacion.

    Las zonas de uso de los dispositivos de calibracion abarcan numerosas ramas, desde la elaboracion de bicicletas hasta el supervision de la naturaleza. No interesa si se considera de enormes producciones de fabrica o pequenos establecimientos domesticos, los aparatos de ajuste son indispensables para proteger un desempeno eficiente y sin paradas.

  2. dobry sklep

    I have read so many content on the topic of the blogger lovers however this article is
    really a nice post, keep it up. I saw similar here: E-commerce

  3. sklep internetowy

    Wow, awesome blog layout! How lengthy have you been running a blog for?

    you make blogging look easy. The full glance of your web site is
    magnificent, as well as the content material! You can see similar here e-commerce

Leave a Reply

Contact Us

Disclaimer

Forex, Crypto, Options, and Binary Options have both large potential rewards and large potential risks. Therefore, before investing or trading any of the assets, ensure you are aware of and willing to accept the accompanying risks. Do not trade money you cannot afford to lose.

All Rights Reserved. None of the content of this website can be published elsewhere by any means without the prior consent of the owner(s). Please, check our terms & conditions and privacy policy before continuing to use this website.

This website and its owner(s) are not in any way liable for any incurred loss, whether caused by the information provided on this website or otherwise. The use of this website, including the content and information provided, is the user’s sole liability.