UK follows Japan into recession

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9M ago 24:45

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The UK economy crashed into a technical recession in the second half of 2023, after Britain’s GDP contracted for the second straight quarter in Q4. While this was no big surprise to investors, the magnitude of the downturn was more severe than anticipated. But, what impact did the news have on the pound? And how could the UK’s disappointing growth performance influence Bank of England monetary policy?
Elsewhere, Japan’s economy also fell into recession, adding further misery to the yen. The dollar, meanwhile, remains the best performing major currency in the world, as a hotter-than-expected US inflation report suggested that the Federal Reserve could wait until at least its June policy meeting before it begins lowering interest rates.
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