GBP/USD remains below 1.30 even as UK Retail Sales beat estimates with +0.8% MoM in August
- The UK Retail Sales came in at +0.8% MoM in August.
- Core Retail Sales for the UK rose by 0.6% MoM in August.
- The cable remains capped below 1.30 on mixed UK Retail Sales.

The UK retail sales came in at +0.8% over the month in August vs. +0.7% expected and +3.6% previous. The core retail sales, stripping the auto motor fuel sales, stood at +0.6% MoM vs. +0.4% expected and +2.0% previous.
On an annualized basis, the UK retail sales stood at +2.8% in August versus +3.0% expected and +1.4% prior while the core retail sales rose by 4.3% in the reported month versus +4.2% expectations and +3.1% previous.
Main points (via ONS)
“In August, there was a mixed picture within the different store types as non-store retailing volumes were 38.9% above February, while clothing stores were still 15.9% below February’s pre-pandemic levels.
Spending for home improvements continued to rise in August as sales volumes within household goods stores increased by 9.9% when compared with February.
Online retail sales fell by 2.5% in August when compared with July, but the strong growth experienced over the pandemic has meant that sales were still 46.8% higher than February’s pre-pandemic levels.”
FX implications
GBP/USD kept its recovery mode intact around 1.2970, as the pound shrugged-off mixed UK macro news. The spot now trades modestly flat on the day, having reversed from daily lows of 1.2941.
Author

Dhwani Mehta
FXStreet
Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

















