Sterling bounces following economic growth data


LONDON, Feb 11 (Reuters) – Sterling enjoyed some respite Tuesday after British economic growth showed no change in the fourth quarter in spite of market expectations of a fall, but the currency remained around its lowest levels for this year amid uncertainty over Britain’s future trade relationship with the European Union.

The data came as re-assurance to investors that the Bank of England was unlikely to pursue a looser monetary policy. At it previous meeting, the BoE signalled it was more interested in seeing if growth picks up after the December election.

“Few expected fireworks from a report that focuses on the final months of election and Brexit uncertainty,” said Karim Yousfi, chief global strategist at Audacity Capital.

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