This is Why I Think Britain Would Be in the Best Place If It Wasn't for Brexit - Forex News by FX Leaders

This is Why I Think Britain Would Be in the Best Place If It Wasn’t for Brexit

Posted Wednesday, January 18, 2017 by
Skerdian Meta • 1 min read

I don´t know how much you have followed the economic data in the recent years, guys, but I have. I have seen the UK getting to the top of the ladder when it comes to the economic recovery which has been going on since the 2008 global financial crisis.  

It´s been a head-to-head race between the US and the UK because all other big economies have been in trouble since then and they have just started, within the last 2 years, to roll in the right direction.   

But in the last few months, the UK economy has been picking up pace despite Brexit. Even sectors of the UK economy, such as industrial production and manufacturing, are doing pretty well right now. 

However, wages stand tall among all other aspects of the economy. Unlike in the US where unemployment has been falling but wages have been very slow to pickup, in the UK, they have been on a good steady uptrend. 

The UK average earnings numbers were published a while ago and they showed a decent 2.8% increase 3m/y. That´s a good number and a nice jump from the previous reading, but the GBP seems uninterested. 

We´re still a long way off pre-crisis highs, but the trend is right. 

In normal times, the GBP buyers would have taken GBP pairs to the sky on these numbers, but the Pound looks like that person who gets a big pay increase while lying in a hospital bed waiting to die.

I´m not saying the GBP will roll over and die when Brexit really gets underway, but this lack of confidence after such numbers tells the story.  

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About the author

Skerdian Meta // Lead Analyst
Skerdian Meta Lead Analyst. Skerdian is a professional Forex trader and a market analyst. He has been actively engaged in market analysis for the past 11 years. Before becoming our head analyst, Skerdian served as a trader and market analyst in Saxo Bank's local branch, Aksioner. Skerdian specialized in experimenting with developing models and hands-on trading. Skerdian has a masters degree in finance and investment.
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