Wednesday saw the English pound lose value against both the common currency of the European Union and the U.S. dollar in the aftermath of official economic data noting unexpected drops last month in U.K. retail sales, Bloomberg reports.
Also harming the performance of the pound on foreign exchange markets on Wednesday were minutes from the early May Bank of England policy meeting, which revealed soon-to-retire governor Mervyn King did not succeed when pushing for a continuation of economic stimulus.
"I have a more optimistic view on the U.K. outlook than the market consensus but I can understand why the data today would boost speculation for further quantitative easing, which is negative for sterling," European hedge fund sales head Neil Jones with Mizuho Corporate Bank Ltd. in London told the news source on Wednesday.
From March to April, retail sales dropped 1.3 percent, data released by the National Statistics Office states. The metric fell 0.6 percent from February to March.
The May 8 and 9 policy meetings over which King presided mark the second-to-last time he will serve as the body's head before he retires in the end of June, according to The Telegraph.
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