Do you want better trades?

UK Growth at Six-month Low

Growth in the UK's economy has slowed to its weakest pace in six months.

Office of National Statistics (ONS) stated how the economy has grown by 0.3% in the three months to November and less than 0.4% in the three months to October. Even going as far to say that manufacturers suffering their longest period of monthly falls in output since the financial crisis.


However, it was said that the economy grew by 0.2% in November, up from 0.1% the previous month.


UK Slowing Economic Growth

Source: ONS


The month of month reports show, construction growth at 0.6% in November, manufacturing contracted at 0.3% while services activity rose 0.3%. Production as a whole contracted 0.4%.


The global economy itself is starting to feel growing pains, EU, US and China's data are showing slowing statistics. Is the US China trade dispute causing worldwide uncertainty? The knock-on effects have been devastating for some exporting countries, as well as the UK.


The ONS has stated that the UK economy is returning to the moderate growth rates after a volatile year.


Ben Brettell, senior economist at Hargreaves Lansdown, said:


"This marks the manufacturing sector's longest losing run since the 2008-09 recession."


"There are two factors at work here. The global economy looks to be stuttering, with the 'Chimerica' trade war rumbling on, and Chinese consumer spending on a downward trend."


"UK companies are also dealing with a significant Brexit headwind, with heightened levels of uncertainty putting business off investment and damaging consumer confidence."


What Forex traders need to look out for

Growing pains world wide have shown many major economies slowing down over the past few months. This can be seen in weakening currencies among the riskier currencies and appreciating currencies in the safe currencies such as the JPY.


If the current economic state continues with the trade war and brexit looms we can see this trend continue.


Look out for:

  1. JPY Strength

  2. USD Strength vs Weak/ Risk currencies (However more volatile due to trade war)

  3. Risk currencies weakening (AUD/NZD due to the falling demand for commodities in China)

To keep up to date with the latest news to support your trades head to the info centre.

8 views

Do you want better trades?

Hey, we're Logikfx. We're determined to make consistent trading a reality for all. Get email notifications of all our up-coming trade ideas and much more. The question is, are you ready?

 LEARN TO TRADE 

 COMPANY 

Logikfx.com simplifies complex financial trading information and processes, so anyone can have complete confidence with their Forex or Stocks portfolio.

 

Learn to trade through online videos, articles, webinars, and workshops. The Logikfx Portal has everything you need to build yourself a long-term trading plan.

Recognition

Nominated as ‘Best New Forex Education & Training UK 2020’ - by Global Banking and Finance Review

Macro Currency Strength Meter ranked as 'best automation tool for retail traders' - by E-Forex Magazine

©2017 - 2020 Logik Fx Ltd

1/1

Headquarters

Logikfx

The Colmore Building, 

20 Colmore Circus Queensway, 

Birmingham 

B4 6AT 

United Kingdom

Business Hours

Mon - Fri: 8am to 11pm

Sat: 6am to 11am

Sun: Closed

Disclaimer

Trading in securities can lead to significant losses, that may exceed your initial investment. You should seek advice from a licensed professional to determine if trading is for you. Logik Fx Limited is not an investment advisor. Further, owners, employees, agents or representatives of Logik Fx Limited are not acting as investment advisors. All persons and entities (including their representatives, agents, and affiliates) contributing to the content on this website are not providing investment or legal advice. Nor are they making recommendations with respect to the advisability of investing in, purchasing or selling securities, nor are they rendering any advice on the basis of the specific investment situation of any particular person or entity.

 

All information on this website is strictly informational and is not to be construed as advocating, promoting or advertising registered or unregistered investments of any kind whatsoever. All of the information on this website is for educational purposes only and is not to be construed as investment or trading advice. ​For the full disclaimer click here.