Despite some early gains yesterday sterling failed to rediscover its bounce from earlier in April and approaches the mid-point of the month almost 2% down against the euro and 1% down against USD compared to the start of the month.
Early trading this morning shows fresh impetus, however.
This morning’s data releases show that UK GDP rose 0.4% in February, having shrunk in January. It is still 7.8% down on last February but growth through the lockdown is encouraging nevertheless. Leading the recovery is production and construction
Shops, hairdressers and other services were allowed to open again yesterday in most of Britain after three and a half months closed, alongside pubs and hospitality for outdoor service, as Covid-19 cases continued to fall rapidly.
All those aged over 50 who want it have now received a first vaccination, with the new Moderna vaccine beginning to be used from today.
According to a poll by Reuters yesterday, the UK economy will recover to pre-Covid rates by mid-2022, with unemployment predicted to peak at 6.2% at the end of 2021.
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