Tuesday’s data hurts sterling

This morning’s data has not been helpful for those of you sending money overseas. In the UK, the BRC reported retail sales down 7%, and the official trade balance figure at -£3.3bn was much worse than expected. Both have brough sterling under pressure and exchange rates have fallen.

If you are following exchange rates for buying Euros, further bad news from Germany where the trade balance came out at +€16.7bn, better than expected, which has made the Euro more expensive.

Tomorrow’s UK quarterly inflation report is now crucial, and a low reading could send GBP back to very low levels across the board.