Pound weakened today After the UK’s gross domestic product (GDP) figure shrank in the second quarter.
As of 6:04 p.m. PST, the pound was down 0.69% to $1.213 and down 0.43% to 0.848 against the euro.
The Office for National Statistics (ONS) reports that The British economy contracted 0.1% in the second quarter from a quarter to three. But it was better than analysts expected a 0.2% contraction after expanding 0.8% in Q1.
The ONS also said the UK economy contracted 0.6% in June, the worst contraction since January 2021. But it was better than analysts expected a contraction of 1.3%.
The Bank of England (BoE) has previously warned that The British economy will face a recession lasting more than a year, going into recession from the fourth quarter of 2022 until the end of 2023.
The BoE says the UK economy will face five quarters of recession, the longest since the global financial crisis. British household incomes will fall sharply in 2022-2023 as consumption begins to shrink.
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