- Retail sales in the UK continued to fall at a strong pace in May.
- GBP/USD largely ignored the data and clings to daily gains above 1.2300.
The Confederation of British Industry’s (CBI) latest monthly Distributive Trades Survey showed that retail sales volumes declined by 50% in May. This reading matched the market expectation and came in slightly better than April’s print of -55%.
Commenting on the data, “the retail sector is at the sharp end of a crisis, with many businesses up against it,” said Rain Newton-Smith, CBI Chief Economist. “The government’s support packages are making a real difference, with more shops reporting that jobs have been furloughed, rather than lost.”
The publication further revealed that 80% of retailers in May faced cash flow difficulties and 53% of them reported temporary layoffs.
The GBP/USD pair largely ignored this report and was last seen trading at 1.2313, adding 1.07% on a daily basis.