Strong growth pushes sterling back into the playing field

Yesterday we saw a positive day for sterling as Gross Domestic Product (GDP) returned to a level not seen since 2008. With the figure coming out at an expected 0.7% for the second quarter of this year, talks are likely to swiftly turn to the timeframe attached to the UK raising interest rates. With the US also looking to raise interest rates, pressure will be firmly placed on their equivalent GDP figure which is to be released on Thursday. The difference in the two countries’ figures may be decisive in the race to raise interest rates.

With minimal data expected out today, focus will be on Net Lending figures which are for forecast at £3 billion – a slight drop from June.