Help
The pound surges to its highest level in a year
The IMF raised its UK economic growth estimate to 0.7% for this year up from the 0.5% forecasted in its April global outlook.
UK inflation came in at 2%, slightly above the anticipated 1.9%.
Eurozone CPI remained steady at 2.5%, matching forecasts.
The MSCI Asia Pacific Index rebounded but gains were offset by a sell-off in Japanese stocks due to U.S.-China trade tensions.
The pound surged to its highest level in a year, as UK inflation came at 2%, but still higher than anticipated at 1.9%. Despite expectations of global rates declining, the Pound unlocked a new level for the year since last July 2023 at $1.30.
Moreover, The International Monetary Fund (IMF) increased its estimate for UK economic growth to 0.7% for this year, up from the 0.5% forecasted in its April global outlook.
Eurozone CPI was also kept in check at 2.5% as both forecast and previous levels. Meanwhile industrial production in the US rose to 0.6% higher than expected at 0.3%.
Earlier this morning, MSCI Asia Pacific Index rebounded from a three-day decline, buoyed by fresh highs in U.S. shares. However, gains were tempered by an afternoon sell-off in Japanese stocks following U.S. warnings of stricter trade rules with China.
Asian equities are showing mixed performance today, driven by optimism that the Federal Reserve will soon cut interest rates. Markets are now fully pricing in a 100% chance of a rate cut in September, leading to a surge in riskier market segments.
