Market news
18.06.2021, 11:18

European session review: GBP depreciates, weighed down by weaker-than-expected retail sales from UK

TimeCountryEventPeriodPrevious valueForecastActual
06:00GermanyProducer Price Index (MoM)May0.8%0.7%1.5%
06:00GermanyProducer Price Index (YoY)May5.2%6.4%7.2%
06:00United KingdomRetail Sales (MoM)May9.2%1.6%-1.4%
06:00United KingdomRetail Sales (YoY) May42.4%29%24.6%
08:00EurozoneCurrent account, unadjusted, bln April31 31.4

GBP weakened against most of its major counterparts in the European session on Friday after the data revealed an unexpected drop in the UK’s retail sales for May.

The Office for National Statistics (ONS) reported that the UK's retail sales declined 1.4% m/m in May, following a 9.2% m/m surge in April, when retail restrictions were eased. This was the first monthly drop in retail sales since January. Economists had forecast a 1.6% m/m gain. Lower retail sales at food stores (-5.7% m/m) were the largest contribution to the monthly decline in May, as the easing of hospitality restrictions had had an impact on sales as people returned to eating and drinking at locations such as restaurants and bars. On a yearly basis, the retail sales rose by 24.6% last month, following a 42.4% jump in April and also missing economists' expectations of a 29.0% climb.

Market participants also received the Bank of England's (BoE) quarterly survey of public attitudes to inflation, which showed that median expectations of the rate of inflation over the coming year were 2.4% in May, down from 2.7% in February 2021. Expectations of inflation in the longer term also fell - to 2.7% in May from 2.9% in February 2021.

Investors’ focus is now shifting towards BoE’s policy meeting, which is due on June 24. Markets do not expect any changes to the Bank’s policy settings.

© 2000-2022. All rights reserved.

This site is managed by Teletrade D.J. Limited 20599 IBC 2012 (First Floor, First St. Vincent Bank Ltd Building, James Street, Kingstown, St. Vincent and the Grenadines).

The information on this website is for informational purposes only and does not constitute any investment advice.

AML Website Summary

Risk Disclosure

Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.

Privacy Policy

Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to Automatic import of materials and information from this website is prohibited.

Please contact our PR department if you have any questions or need assistance at

Live Chat E-mail
Choose your language / location