Although the British pound was recently lagging behind the euro before it made a final recovery, the poor exchange rate showing should not be taken as a signal to be overly pessimistic about the UK’s economic status, or so asserts some analysts.
Although the country’s inflation did not waver during May, housing prices have started to move upwards, unfortunately making it harder for new-home buyers. But also upping the fiscal cushion for those who already have homes. Other good news includes the fact that retail numbers showed that money was indeed moving well in the United Kingdom. Employment numbers were also up.
Key Takeaways:
- House prices in the UK are going up for the first time since March, which is good for homeowners, less good for buyers.
- Employment numbers in the UK are positive, as are the retail numbers, which show that money is moving in the United Kingdom.
- Although the pound did lag behind the euro, before rallying, this exchange-rate sluggishness needn’t be viewed as an indication of overall flaccidity in the UK economy.
“The UK exchange rate has fallen against the euro according to Bloomberg.”