GBP/USD Holds Steady Above 1.40 Level
The British pound shows 0.23% growth today and the GBP/USD pair is trading at 1.4052 level. Despite the great uncertainty about the UK's withdrawal from the EU and mixed economic data, the British pound rose by 2.1% against the US dollar this month.
According to the final data of the Office for National statistics (ONS), the UK economy added 0.4% in the fourth quarter of 2017, as expected earlier. Estimating the growth of British GDP in annual terms is maintained at 1.4%. This is the minimum indicator for more than 5 years. In general, by the results of the past year the country's economy grew by 1.8%, and not by 1.7%, as indicated earlier. The growth rate was slightly lower than 1.9% in 2016.
The relatively weak growth of the UK economy reflects the uncertainty associated with Brexit, and the longer it persists, the more serious damage it causes. Reducing investment entails a decline in productivity growth. The main problem for the UK is thus to overcome uncertainty and clarify the prospects for Brexit. One year remains before the release of the United Kingdom from the EU, as the Brexit process should be completed in March 2019.