Moody's out with their latest Brexit Monitor report 30 Jan
Courtesy of our good friends as Livesquawk.com
- economy stronger driven by business service and manufacturing, but consumer spending remains weak
- the further stabilisation in growth, with the economy expanding by 0.5% in Q4 2017, suggests the 'Brexit impact' on GDP has not been particularly pronounced so far
That's probably because Brexit hasn't happened yet and won't do for a long time.
Say Moody's:
Consumer indicators are below five-year averages and household consumption growth trends below. Retail sales dipped in December after a rise in November on seasonal factors driven by volatile items, extending their trend of weaker growth.
Investment sentiment is near five-year averages, with businesses expecting investment to expand, albeit gradually. Although the rebound in capital spending intentions throughout 2017 has stagnated in recent months, they remain near post-Brexit referendum highs.
Manufacturers' export orders are growing firmly, but are broadly stable in the services sector.
Employment growth picked up in November after it slowed in prior months and remains firmly positive. Hiring intentions have been moderating in recent months in the service sector with volatility increasing, but trended firmer among manufacturers.
Housing market indicators are trending below five-year averages and have fallen since the referendum. In addition, houses price fell in December and inflation is expected to moderate further in the months ahead.
The report, "UK Brexit Monitor", is a regular publication covering key economic and political developments about the UK's decision to leave the European Union, focusing on the UK.
Meanwhile GBPUSD is back up to 1.4135 but EURGBP still at 0.8793 as EURUSD also back up to 1.2430 from 1.2400 as USD supply generally prevails again.
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