Gbpjpy Moves On Positive Uk Gdp

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Gbpjpy Moves On Positive Uk Gdp

Gbp/Jpy Moves To 189.50 After Positive Uk Gdp Data

GBP/JPY has managed to stay in the green for the 4th session in a row. The GBP/JPY cross is near 189.30 on Thursday, with an upward bias.

According to experts, the release of the UK's GDP data was mostly positive. This has helped the GBP/JPY to turn higher and continue its bullish trend.

Uk Gdp Grows By 0.% Q/Q During 2nd Quarter

The UK data showed that the GDP has growth by 0.6% q/q during the 2nd quarter. This was in line with the forecasts and thus was welcomed positively by the traders. During Q1, the GDP growth was 0.7%, which shows a little decline of -0.01% during Q2.

As for the GDP growth in terms of y/y, it was around 0.9% during the 2nd quarter against the 0.3$ reading of the 1st quarter.

Another important data release was the UK Industrial Production, which went higher by 0.8% m/m during June. This was way higher than the 0.1% forecast and even surpassed the 0.3% reading of the previous month.

Similarly, the UK Manufacturing Production showed a 1.1% growth m/m, higher than the forecast of 0.1%. In short, most of the data was positive, and that's a major reason why the GBP/JPY is now trending higher.

The UK's Finance Minister has also revealed a target for the UK to achieve one of the fastest GDP growths among the G7 countries.

The finance minister added that the new UK government has to face a lot of challenges. That's why it is important to make difficult decisions in order to improve the economic fundamentals.

On the other side, Japan's GDP data was also positive. Although this has not sent the GBP/JPY cross lower, it has effectively put a cap on the upper side. In fact, many believe that Japan's GDP data will serve as the basis for yet another rate hike by the BoJ (Bank of Japan).

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